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EDMONTON/NORTH                                              FEBRUARY 9, 2007 – VOL. 7, NO. 3                                                       NEWSSTAND $2

  Home-care crisis looms nationwide
                                      BANKING ON THE FUTURE                                                                     Staff shortages
                                                                                                                                hit companies
                                                                                                                               providing service
                                                                                                                              By Laura Severs
                                                                                                                              Business Edge

                                                                                                                                                 silver tsunami is about
                                                                                                                                                 to hit Canada’s home-
                                                                                                                                                 care network.
                                                                                                                                                    A l ready faced with
                                                                                                                              labour shortages in parts of the
                                                                                                                              country, the home-care system,
                                                                                                                              which provides community sup-
                                                                                                                              ports to enable people to stay in
                                                                                                                              their homes, is expected to be rap-
                                                                                                                              idly engulfed by an aging demo-
                                                                                                                              graphic that could put even more
                                                                                                                              stress on health-care providers.
                                                                                                                                 But while home-care compa-
                                                                                                                              nies and organizations prepare for
                                                                                                                              the future, they’re already dealing
                                                                                                                              with a more immediate concern:
                                                                                                                              A lack of staff.
                                                                                                                                 “In many ways we tried to avoid
                                                                                                                              the ‘c’ word but it is a crisis.There
                                                                                                                              are many people throughout the
                                                                                                                              province (of Alberta) whose care is
                                                                                                                              not being fully serviced as a
                                                                                                                              result,” says Wes Campbell, presi-
                                                                                                                              dent of the Alberta Home Care
                                                                                                                              and Support Association (AHSA),
                                                                                                                              which represents 65 member not-
                                                                                                                              f o r - p ro f i t , private and publ i c
                                                                                                                              organizations servicing 50,000
                                                                                                                              clients annually.
                                                                                                                                 While labour shortages are no
                                                                                                                              longer news in that province,
                                                                                                                              other regions across Canada are
                                                                                                                              having problems in finding and
                                                                                                                              retaining home-care workers.
                                                                                             Larry MacDougal, Business Edge
                                                                                                                              See WAVE                        Page 3

      Building momentum in RRSP market                                                                                             Edmonton ISSN 1496-9726

 RBC Asset Management Inc. chairman and CEO George Lewis enjoys the challenge of nurturing a talented team that
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 1980s, Lewis has worn many hats with the financial services company. Read his story in 20 Questions on Page 8.
Page 2                                                                                                                                                              February 9, 2007

                                                                                                             COMING EVENTS
                                                                       ■ Exporting Your Services            claimed. Location: Business            Club, 11435 Saskatchewan
        PUBLISHED BY                  ALBERTA/B.C. EDITOR              (Feb. 13, 8:15 a.m. - 4 p.m.) –      Link, #100, 10237 104 St.              Dr. (parking in Lot V on 116
      BUSINESS EDGE INC.                 LISA DEMPSTER                 Seminar for businesses consid-       N.W., Edmonton. Free.                  St.), Edmonton. Cost: AEA
          SUITE 500,                                                   ering providing services             For more info, go to                   members $25, others $35.
      525 11TH AVE. S.W.               HEAD OF RESEARCH                outside Canada, providing                     For more info or to
      CALGARY T2R 0C9                  ALEXIS D. SMOLENSK              services to a foreign visitors,      ■ Starting Your Business               register, go to
        1.866.216.3343                                                 or interested in setting up a        (Feb. 15, 6 - 9 p.m.) – Start off      ■ The Next Little Thing:
       FAX 403.264.4439                    CANADA POST                 commercial presence abroad.          right and increase the odds of         What’s Ahead in
   ADVERTISING INQUIRIES                   PM 40045817                 Location: Greenwood Inn,             business success. Location:            Nanotechnology (Feb. 21,
    1.866.216.3343, EXT 25                     RETURN                  4485 Gateway Blvd.,                  Business Link, #100, 10237             11:30 a.m. - 1:30 p.m.) –
    ADS@BUSINESSEDGE.CA                     UNDELIVERABLE              Edmonton. Cost: $50. For             104 St. N.W., Edmonton.                Speaker: Wayne Baird, NRC.
                                         CANADIAN ADDRESSED            more info or to register, go to      Cost: $31.80. For more                 Location: Westin Hotel, 10135
        NEWS TIPS                              MAIL TO:                          info or to register, go to             100 St., Edmonton. Cost:
                                              SUITE 500,               ■ What’s Tax Deductible                       CINet and SCIP members
                                         525 - 11TH AVE. S.W.          for Entrepreneurs? (Feb. 13,         ■ Alberta Entrepreneurs                $25, others $35. For more
    SUBSCRIBE ONLINE AT:                  CALGARY, ALBERTA.            noon - 1 p.m.) – Learn the           Association (Feb. 20, 5:30 - 9         info or to register, go to
     WWW.BUSINESSEDGE.CA                      T2R OC9                  basics of what is deductible         p.m.) – Speaker: Diane       
                                           SUBSCRIPTIONS@              by proprietorships and               Penner/Talbot Marketing.               ■ Creativity: Why Didn’t I
          PUBLISHER                         BUSINESSEDGE.CA            corporations, and the common         Topic:Trade Show Tips.                 Think of That? (Feb. 22,
         ROB DRISCOLL                                                  types of expenses that can be        Location: U of A Faculty               noon - 1 p.m.) – Get an
                                             PRINTED BY                                                                                            update on idea management,
                                       CALGARY COLORPRESS                                                                                          problem-solving and
      TERRY INIGO-JONES                                                    Feds pitching Baby Boomers                                              brainstorming. Location:
                                                                                                                                                   Business Link, #100, 10237
                                                                           to work past retirement age                                             104 St. N.W., Edmonton.
                                                                                                                                                   Free. For more info, go to
                                                                       The Canadian Press                   entice Baby Boomers to stay on
                       INSIDE EDGE                                                                          the job or even return to the          ■ Do-It-Yourself
                                                                         The federal government is          work force where practical.            Incorporation (Feb. 22,
■ 20 QUESTIONS                      signs of slowing, likely leading   pleading with aging Baby               He says the government and           6 - 9:30 p.m.) – Presenter:
RBC Asset Management CEO            to a pullback in global            Boomers to work past retire-         employers will have to do more         Dave Singleton. Location:
George Lewis has grown his          commodity prices.                  ment age to offset a labour          to encourage their older work-         Business Link, #100, 10237
organization into an industry                               Page 28    shortage in Canada.                  ers to stick around. According         104 St. N.W., Edmonton.
giant.                                                                   In announcing a panel that         to Statistics Canada, m o re           Cost: $58.30. For more
                        Page 8      ■ TECHNOLOGY EDGE                  will study labour market condi-      Canadians are nearing retire-          info or to register, go to
                                    A Calgary entrepreneur and         tions affecting older workers,       ment than ever before.       
■ FINANCIAL EDGE                    his idea-fermenter are at the      Human Resources Minister               Ontario last year scrapped              (E-mail your events at least two
Jean-Francois Tardif of Sprott      forefront of ‘crowdsourced         Monte Solberg said the short-        mandatory retirement, allowing         weeks before publication date to
Asset Management is still a fan     software.’                         age is serious. Solberg says the     people to work past 65 if they For online
of the energy and gold sectors.                            Page 30     panel will look for ways to          choose.                                listings, visit
                       Page 14

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February 9, 2007                                                                                                                                                                        Page 3

WAVE from Page 1

  Alberta cities lead way in acute shortages
   Mississauga-based Bayshore          Boomers into retirement age –       and they would hire me imme-                   “We had close to 350 people          “This didn’t happen overnight.
Home Health, which describes           a wave that could well result in    diately and pay me more than                resign last year for better pay         It developed over several
itself as the largest home-care        a greater need for assistance.      $13 an hour,” says Campbell.                and better hours,” adds                 years.
provider in Canada, says it is           It’s in B.C. where this silver    “There’s not an economic or a               Hildebrandt.                              “No. 1, we have to figure out
running into difficulties in           tsunami is likely to hit hardest.   time commitment incentive.”                    Industry insiders say there is a     better and more effective ways
various parts of the country.          Currently home to some                 The BCCPA’s Kate Hilde-                  light at the end of the tunnel,         to attract people to health-care
   From Bayshore’s perspective,        588,000 seniors, 25 years from      brandt, the association’s director          though it will take time.               careers.
the shortage is most acute in          now that number will more           of public relations, says they’re              “Unfortunately, t h e re ’s no
the following cities, in order:        than double to 1.3 million          dealing with some similar issues.           quick fixes,” says Campbell.            See RATES               Page 4
Calgary, Edmonton, Vancouver,          seniors.                               “Some of our colleges are
Winnipeg and Halifax, says               One         in  four    British   doing well in recruiting new
Janet Daglish, d i rector of           Columbians will be a senior         students and others have
community partnerships for             by 2031, according to the BC        stopped the program because
Bayshore.                              C a re Providers Association        of a lack of enrolment, such
   It’s also not ideal in Ontario.     (BCCPA), a non-profit organi-       as in the Okanagan and
However the Ontario Home               zation representing non-profit      northern B.C., with officials
Care Association (OHCA),               and private facilities and agen-    there attributing it to better
which represents home health-          cies and suppliers, including       opportunities in the oilpatch,”
care organizations that provide        Home Support members, that          says Hildebrandt.
home-care services to an esti-         provide services to more than          “And there’s better opportu-
mated 250,000 clients annually,        10,000 clients each year.           nities at Tim Hortons. You can
says the labour situation is not         Overall, Canada’s senior pop-     get a full-time job there in
as bad in that province.               ulation will double from 3.5        northern B.C. at $15 an hour,
   “Ontario is experiencing the        million to an estimated 6.9         you don’t have to work
same challenges in recruiting all      million by 2021, says the Public    nights and it’s easier and clean
types of home-care workers –           Health Agency of Canada.            work.”
nurses, therapists and personal          But demographics are just            Hildebrandt says another
support workers,” says OHCA            part of the picture. A booming      issue is also salary re l a t e d .
executive director Sue Vander-         economy is another.                 “We’re hearing different prob-
Bent.                                    “We’re challenged by several      lems in different pockets of our
   However, home care is the           factors,” says the ASHA’s           province,” she says, pointing to
next wave of the future for            Campbell. “One is the               booming tourism development                                                         “The site has helped to
h e a l t h - c a re provision, says   economic engine that’s driving      in B.C.’s Interior, particularly                                                    contribute in excess of
VanderBent.                            Alberta – in and of itself, it      around Radium Hot Springs.                                                          $1,000,000 and a 25%
   “If Canada goes the same            creates pressure for labour and        “There’s so much tourism                         re you frustrated your site
way as Europe, we will expand
and enhance our home-care
                                       that’s well documented.”
                                         Add in declining enrolments
                                                                           development (there). Boomers
                                                                           are going into early retirement
                                                                                                                         A     is NOT on Page 1 of
                                                                                                                         Google? Could your web site
                                                                                                                                                               increase in our business
                                                                                                                                                               in the last year.”
                                                                                                                                                               – Don McNiece, President,
delivery so people will be able        for schools that train personal-    and building up re t i re m e n t             design be affecting your sales?
to stay at home,” she says.            care attendants and an aging        communities, they’re moving                                               
                                                                                                                         Do you have a quality web
“That’s where people re a l l y        wo r k f o rce where people are     here from Calgary and Europe                  statistics program for tracking       received numerous entrepre-
want to be.                            retiring faster than they can be    – when you’ve got that kind of                your return on investment?            neur awards, has the blueprint
   “People want to live in their       replaced, and you have a more       development going on, there                   If you have a shopping cart,          for success to show you how
own homes and stay there and           complete look at the challenges     are so many opportunities in                  does it work properly and is it       it’s done online. Get the
age there as long as they can.”        faced by this industry.             the trades.”                                  converting sales for you? Can         answers you are looking for
   Home care encompasses a               “I can go to school for four         This results in a lot of young
                                                                                                                         you save a lot of money by            NOW and learn how to fix all
wide range of services from            months and get my personal-         people choosing a lucrative
                                                                                                                         advertising your job postings         your web site problems with
assistance with daily living to        care certificate to make $13 an     trades job as opposed to build-
at-home nursing care after a           hour, or I can go out this after-   ing a career from the ground                  on your web site? Get the             absolutely NO RISK to you!
hospital stay.                         noon to several places in town      up.                                           answers to your questions and         In fact, “Shawn personally
   Further, many treatments that                                                                                         maximize the best business            guarantees it or your money
                                                                                                                         tool in history . . . the Internet.   back”. If you have annual
were once carried out in a hos-
pital setting are now able to be                SEARCH RESUMES AND                                                       How? By getting to know               revenue of $3 million or more,
done at home. Services can
range from dealing with
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Page 4                                                                                                                                                                        February 9, 2007

RATES from Page 3
                                                                            Invest in Prime Raw Land within Airdrie City Limits
Private-sector provider
looking at ‘rehirement’
   “No. 2, we have to increase         our No. 1 initiative as we roll
our retention rates. No. 3, we         out our franchise program
h ave to be aggre s s ive with         across Canada,” says DeHart.
the ESL (English as a second           “We’re taking it into our own
language) candidates. We need          hands, we’re creating our own
to be very, very creative in the       internal programs so we can
way we provide compensation            find workers who become
and benefits. We also need to          great caregivers and teach them
be competitive in our wages            to become home-care workers.
and benefits programs,” s ay s            “We call it our ‘rehirement’
Campbell.                              versus re t i re ment solution.
   Hildebrandt agrees, adding          There’s a whole group of older
not enough people know about           mature individuals that have a
the industry, the career choices       passion for what we do but
it offers and the possibilities for    don’t have the skills or the
advancement in the field.              training to do it.We’re piloting
   There’s also a cultural shift to    it now, creating an entire pro-
deal with, in a society where a        gram around finding older            Aveiro Investment Corp. has             • Pre-IPO Share Placement
younger generation cares more          mature individuals and teach-        recently agreed to acquire a
about themselves than they do          ing and training them to             77-acre parcel of land in the           • RRSP eligible (new
for others.                            become caregivers.”                  City of Airdrie, designated in          contribution or transfer-in),                 To learn more about
                                                                            the Area Structure Plan for             RESP, RRIF, LIRA eligible                  this incredible investment
   Meanwhile, one private-sec-            Many of the company’s best                                                                                              opportunity, contact
tor home-care provider, Nurse          caregivers are individuals over      Industrial use. Airdrie is the                                                            Susan Busse:
Next Door, headquartered in            the age of 65, DeHart adds.          second-fastest growing city in          • Management team with
Vancouver, believes it has found          Bayshore has also developed       Alberta (after Fort McMurray)           extensive business and real                   D: (403) 921-3696
its own solution.                      its own plan to deal with the        and industrial land in Airdrie          estate experience                             O: (403) 237-6800
   Created in 2001 as a result of      labour concerns.                     and Calgary is in short supply.                                             
their personal experiences of             It offers programs to help
trying to find the right caregiv-      recent nu rsing grads to enter
er for their own family mem-           the home-care sector including
bers, John DeHart and Ken Sim          teaming senior nu rses with
are now in expansion mode.             young nu rses entering the
   In March, Nurse Next Door
will open offices in Burnaby,
                                       home-care field, so newer staff
                                       can get the support they need.
                                                                            Looking for top value for your
Kamloops and White Rock and               It’s using late-career nurses
plans are to have 10 franchises
up and running in B.C. by the
                                       in educator ro l e s , increasing
                                       support for licensed practical
                                                                            marketing/advertising dollars?
end of the year.                       nurses so they can play a bigger
   In 2008, Nurse Next Door
will look at expanding into
both Alberta and Ontario.
                                       role, as well as boosting support
                                       levels for personal-care workers
                                       or home-care aides.
                                                                            Look no further!
   “The whole labour shortage             (Laura Severs can be reached at    With its editorial excellence and unrivalled distribution, Business Edge News Magazine
is a big issue in our industry. It’s                presents an affordable and highly effective vehicle through which your business can speak
                                                                             directly to a massive audience of high-income consumers and business decision makers.

     Aboriginals cash in on                                                  Compelling editorial content has always been a foundation of our business, but
                                                                             the Edge’s distribution to 180,000+ Canadian companies truly sets us apart from
      tight labour market                                                    our competitors.

Business Edge                             Alberta led job growth in the      Business Edge advertisers can target any or all of our four editions
                                       West, with a 43-per-cent
                                                                             (Ontario, Man/Sask, Alberta and B.C.), reaching the majority of business addresses
   Aboriginal people in Western        increase in its gross domestic
Canada are benefiting fro m            p roduct between 2002 and             in the major centres. There is always comprehensive coverage of the downtown districts
tight labour market conditions,        2005 and an unemployment              in Toronto, Vancouver, Calgary and Edmonton. Rotating distribution, meanwhile, ensures
according to a Statistics Canada       rate of 3.9 per cent in 2005.         that over the course of two issues advertisers can reach about 98 per cent of business
study.                                 Not surprisingly, Aboriginal
                                                                             addresses through Canada Post in all of the cities below.
   Aboriginal      employment          people in Alberta had the high-
increased 23 per cent between          est labour force participation
2001 and 2005, twice the               rate, 70 per cent of the work-        Minimum number of businesses reached per edition*:
growth rate of only 11 per             ing-age population, as well as        Toronto     33,000           Winnipeg        9,300      Calgary       28,000            Vancouver         26,000
cent for non-Aboriginals, the          highest employment rate (64           Mississauga 11,200           Saskatoon       3,100      Edmonton      14,500            Richmond           4,200
study found.                           per cent) and the lowest unem-        Markham      3,900           Regina          2,900      Red Deer       1,800            Surrey             4,300
   During the same period, the         ployment rate (8.5 per cent).         Ottawa      10,700                                      Grand Prairie  1,300            Burnaby            2,300
Aboriginal unemployment rate              The study showed that post-        London       5,250                                      Fort McMurray 1,250             Victoria           4,350
fell from 15.5 per cent to 12.1        secondary education helps                                                                     Banff            200            Nanaimo            1,350
per cent, while the participa-         eliminate the employment gap.                                                                 Canmore          225            Kelowna            2,500
                                                                                                                                     Lethbridge     1,500            Kamloops           1,550
tion rate ro s e, particularly         Aboriginal people who held a
                                                                                                                                                                     Vernon             1,100
among women.                           unive rsity degree had an
   Nevertheless, significant dis-      employment rate of 84 per            * Individual city circulation numbers are all more than 50% of total business addresses per city based on Canada
parities remain, says Statistics       cent, surpassing the rate of 77      Post unaddressed mail data as of Sept. 1, 2006.
Canada. In 2005, the unem-             per cent among the non-
ployment rate of the Aboriginal        Aboriginal population.                               Contact us now for more information
population was 2.5 times that             Among the least educated,                           on advertising in Business Edge
of non-Aboriginal population.          that is, those with no high
Also, the employment gap was           school diploma, employment                                 1.866.216.3343 ext 25
high in cities such as Regina          rates were low for both                          
and Saskatoon.                         populations.
February 9, 2007                                                                                                                 Page 5

                                                  Hmmm ...

                                      ... trying to think of some clever words
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                              promoting advertising opportunities in this publication.
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                   * Based on 5.2 readers per copy established in the independently conducted Business Edge Readership Survey.
Page 6                                                                                                                                                                    February 9, 2007

Feds’ energy initiative set to fire up green tech
By Monte Stewart                      ment will help investors, p u r-              want strict prerequisites to be     can release those hydrocarbons    mercialized, he adds. Bennett
Business Edge                         chasers, regulators and other                 met.                                without damaging the environ-     has discussed the issue with fed-
                                      interested parties to minimize                   Kinkaide suggests Alberta has    ment?                             eral Natural Resources Minister
       evelopers of new tech-         their risk when it comes to                   a chance to become a world            “The sensible thing to do is    Gary Lunn, but the B.C. m i n i s-
D      nologies and renewable-
energy sources are lauding the
                                      spending on renewables.
                                         “When you look at new
                                                                                    leader in green technolog ies,
                                                                                    like it is in energy. While some
                                                                                                                        to go at it.”
                                                                                                                          Such technology is already
                                                                                                                                                          ter declined to discuss his spe-
                                                                                                                                                          cific federal funding requests.
federal government’s $2 billion       technologies and the imple-                   people may debate the scientif-     available in the world, but it       (Monte Stewart can be reached at
funding for environmental pro-        mentation of innovative tech-                 ic need for environmental tech-     needs to be refined and com-
grams, saying it will boost           nologies, there is often techni-              n o l ogies, he adds, t h ey are
investment in green technolo-         cal uncertainty,” says Neate.“So              clearly in high demand.                                       Advertisement
gies and early-stage startup          that’s one of the key areas that                 “I’ve seen a considerabl e
   But environmentalists say the
                                      these types of initiatives, poten-
                                      tially, can actually address.”
                                                                                    number of companies in the
                                                                                    last six months that are zeroed
                                                                                                                          Are YOU Making the Most Out
Tory program falls short of              Neate is also the president of             in on alternative-energy forms        Of Your Customer Relationships?
what the former Liberal gov-          ETV Canada Inc., which runs                   that are green and clean – the
ernment proposed, and some            the Canadian environmental                    bio-economy in particular
                                                                                                                              Announcing a FREE service to help you attract
observers have attributed the         technical verification program                (and) bio-diesel,” says Kinkaide.
announcement largely to               for the federal environment                      But in Alberta, early-stage              more clients and improve your cash flow.
Liberal Leader Stéphane Dion’s        ministry. He says the new pro-                tech companies that operate
strategy to emphasize the envi-       grams will ease the concerns of               outside the energy sector have         Calgary, AB – It’s a proven fact that up to 63% of your clients
ronment in the next election.         inve s t o rs and re g u l a t o rs who are   been hindered in attempts to         will buy elsewhere due to indifference. Learn how to maximize
   The ecoENERGY Efficien-            concerned about the credibility               gain financing, because oil and      your customer relationships … while improving your bottom line
cy Initiative includes a $1.5 bil-    of new technologies and users’                gas companies receive up to 30       bank balance. Depending on your business, a 5% increase in
lion investment in renewable          ability to understand them.                   per cent of new - i nvestment        customer retention CAN mean up to a 95% boost to your year-
energy supplies; $300 million            The ETV program provides                   dollars back from the provincial     end profits.
for energy-efficiency systems in      independent verification that                 government.                            To receive your FREE training dvd and 2 marketing
homes, small buildings and            reported benefits of new tech-                   “That discourages anyone to       booklets (Creative Marketing Tips and Maximum Profits In
industries; and $230 million for      nologies are true. Neate says the             put money elsew h e re,” says        Minimum Time), all designed to help find the greatest
projects that research, develop       new federal programs should                   Kinkaide.                            opportunities to improve your marketing, fill out the form at
and demonstrate clean-energy          have built-in reporting mecha-                   Bill Bennett, the B.C. minis- and everything will be mailed
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   But companies and industry         jects deliver on their promises.              would like to see some of the          Or, if you prefer to leave your name and mailing address via
associations want more specific          “In some areas, there does                 money put toward projects that       message – leave your details at 403.259.4566.
details on how the programs           need to be a hard look at the                 use coal-based energy to               This is 100% free. There are no sponsored links, no pop-up
will work, how the money will         payback and the implications,”                sequester greenhouse gasses.         ads, no banner ads and nothing you have to buy.
be used and how the recipients        says Neate.                                      “B.C. has more coal than any        Why? Because Business Edge Readers are among the best
will be held accountable.                Donald McInnes, president of               other hydrocarbon re s o u rce,”     entrepreneurs I’ve ever worked with, and this is my way of
   “I’d like to make sure that        Vancouver-based                   Plutonic    says Bennett. “The reserves of       giving back. (Go to the website to find out who I am). See the
(funding) is quite broad, that        Power Corp., which is building                coal we have in this province        webpage for Forbes endorsement of this material.
it’s not so tight and narrow          three run-of-river hy d ro                    are phenomenal. Are we going           One last thing: In 2006, one of my clients sold 1,175 products
that it simply becomes a              projects as part of 38 power                  to just let them sit there and
                                                                                                                         in 48 hours during a new launch – - another sold 20,500 books
nice news release that never          contracts that were awarded by                pretend that they’re not there
                                                                                                                         in 24 days, ALL using the techniques you get here for free.
reaches anybody,” s ays Perry         BC Hydro last year, says the                  and not use them? Or are we
                                                                                                                         Call now. No catch.
Kinkaide, president and CEO           federal funding will stimulate                going to spend the money on
of the Edmonton-based Alberta         the construction of more                      research and figure out how we
Council       of Te c h n o l ogies   renewable energy projects.
(ABCTech).                               McInnes says the scrapped
   “More importantly, (the pro-       Liberal program was “extreme-
gram) should be designed in           ly prejudicial” to B.C. inde-
such a way that it can be used        pendent power pro d u c e rs
by, and possibly leveraged by,        because it would have limited
early-stage startups. I’m not         funding to B.C. projects that
going to pick which technolo-         had a maximum capacity of 50
gy should be the right one.           megawatts.
More importantly, they’re zero-          He says the new federal
ing in on the environment and,        money will enable his firm to
hopefully, it’s packaged in such      offer electricity at cheaper
a way that makes it easy to use.”     prices when BC Hydro issues
   ABCTech represents individ-        another call for tender on
uals from companies that devel-       power projects this year.
op technologies ranging from             Consumers will also benefit,
carbon sequestration to tele-         he adds, because companies will
communications. Kinkaide says         be able to sell electricity to util-
the money will benefit firms          ities at lower prices – because
that operate and produce tech-        re n ewa bles are usually more
nologies for use outside major        expensive than coal-fired facili-
cities.                               ties – and the supply of power
   “There’s been an awful lot of      will increase.
consultation going on to help            ABCTech’s Kinkaide says the
small-town, rural communities         money may also help early-
– and it’s time somebody put          stage companies deal with diffi-
their money where their mouth         culties getting financing from
is,” says Kinkaide, whose group       investors. Institutional investors
is touring southern Alberta           can get “very nervous” about
communities early this month          new technologies and simply
in a bid to help launch new           don’t look at them, because
businesses.                           they want an asset that can back
   John Neate, acting chief oper-     up their investment.
ating officer for the Ontario            Many startups depend on
Council for Environmental             angel investors, but angels,
Technology Advancement, says          who provide anywhere from
the “great” federal announce-         $50,000 up to $1.5 million, also
February 9, 2007   Page 7
Page 8                                                                                                                                                     February 9, 2007

                                                                         20 QUESTIONS

   Experience biggest asset for RBC executive
  By Monte Stewart                                                                                                                auditing of financial statements
  Business Edge                                                                                                                   allowed owners to have confidence
                                                                                                                                  in, and a way of administering, the
          magine that you go to work                                                                                              people who were managing their

  I       every day and look after $300
          billion of other people’s money.
             Now you have an idea of
  what it’s like to be George Lewis,
  chairman and CEO of RBC Asset
                                                                                                                                  businesses for them. It’s a wonderful
                                                                                                                                  early career. It could be a wonderful
                                                                                                                                  late career for many people. But it’s a
                                                                                                                                  wonderful early career, because you
                                                                                                                                  get exposed to a number of different
  Management (RBCAM) Inc.                                                                                                         businesses as an auditor. I found that
     Lewis doesn’t look after all of                                                                                              (experience) very valuable.”
  RBCAM clients’ assets by himself.                                                                                               6. What was it like trying to get
  But it’s his job to hire, fire and                                                                                              into Harvard?
  manage the other members of his                                                                                                    “It’s an interesting story, because I
  team who do.                                                                                                                    was enjoying being a public account-
     Toronto-based RBCAM, which is                                                                                                ant. It was my wife who asked me
  an indirect, wholly owned subsidiary                                                                                            to go back and get an MBA. It was
  of Royal Bank of Canada (RBC),                                                                                                  really on a spur of the moment that I
  sells and advises investors on mutual                                                                                           applied to Harvard and Stanford. I
  funds, pooled funds and portfolios                                                                                              viewed it as a once-in-a-lifetime
  managed by other financial services                                                                                             opportunity to study in a very inter-
  companies.                                                                                                                      esting place and meet a lot of very
     RBCAM has snared the largest                                                                                                 interesting people. It was before
  market share of mutual fund assets –                                                                                            Leanne and I had children.We’ve had
  about 10 per cent – under Lewis,                                                                                                a lot of special times.We’ve been very
  who moved into his current post                                                                                                 blessed, but that was a time that we
  in 2000 after joining RBC in the                                                                                                look back on with particular fond-
  mid-1980s.                                                                                                                      ness.”
     “The (Canada Pension Plan) might                                                                                             7. Who were some of your
  catch us one day, with their built-in                                                                                           prominent classmates?
  sales plan,” says Lewis. “But we’re very                                                                                           “Susan Decker, who is chief
  privileged and we take that (privilege)                                                                                         financial officer of Yahoo Inc., which
  seriously.”                                                                                                                     is now a major business. I noticed
     RBC, which he joined after obtain-                                                                                           they reported good results (recently),
  ing an MBA from Harvard University,                                                                                             so good for her. In addition to my
  has “allowed me to have new chal-                                                                                               classmates, I was fortunate to have a
  lenges over the years. I feel blessed                                                                                           number of professors who were very
  with a great team. It’s a tremendously                                                                                          interesting. Michael Porter, a very
  exciting position to have, because                                                                                              important person in terms of
  we have a great momentum in the                                                                                                 competitive strategy, was there at
  marketplace and great business with                                                                                             the time. One of my professors for
  our clients.When I get a chance to                                                                                              corporate finance was a gentleman
  meet our clients, I always start by                                                                                             named Stephen Fenster, who
  thanking them for their business,                                                              Larry MacDougal, Business Edge   unfortunately passed away some time
  because it is tremendously exciting        RBC Asset Management chairman and CEO George Lewis is also a history                 ago. He was a partner at Lehman
  and gratifying.”                           buff who has studied such political notables as Churchill and Roosevelt.             Brothers, and he was instrumental in
     Pending the next global recession,                                                                                           getting me interested in the capital
  time will tell how grateful investors      far away, and we both went to the         4. Since you felt that you                 markets and corporate finance
  are to Lewis. An accountant by             same school. We didn’t really get         weren’t going to get into sports,          business – which ultimately led
  profession, he is also a history buff      together until the last year of high      what career did you dream of               to RBC.”
  who gains inspiration from such            school.”                                  following?                                 8. How did you end up joining
  notables as Sir Winston Churchill,         2. What were some of your                    “I enjoyed all subjects in high         RBC?
  Abraham Lincoln and Franklin               interests when you were growing           school – the math and science and             “It was very interesting. I joined
  Delano Roosevelt. And he believes          up?                                       English and history – so it was            Dominion Securities Pitfield from
  that people – rather than market              “I enjoyed sports, but was only        difficult for me to choose what to         Harvard. It was, and still is, Canada’s
  forces – revolutionize economies.          good at a few of them, one of which       take at university. I chose (commerce)     largest investment dealer. At the time,
     Meanwhile, as the RRSP season           was bowling. I still have the result of   as an area to focus on in my under-        Dominion Securities had grown
  comes to a close, you may gain some        that part of my life, in the form of      graduate studies at the University of      through acquisitions for the previous
  insights in investment strategy from       bowling trophies – which Leanne           Toronto. It was more being interested      five years, and therefore had not hired
  Lewis, whose firm emphasizes               doesn’t let me display – but they’re      in something that I hadn’t had             people into its investment-banking
  product performance, people and            in the attic somewhere. I played a        exposure to, rather than a pre-            area. It came down to Harvard in
  value for money.                           little basketball and a little chess,     determined view that I wanted to           1986 and three Canadians joined
  1. Can you tell us a bit about             everything from a recreational point      travel down a certain career (path.)”      from the class – myself, Peter Busey,
  your early years?                          of view. I concluded that professional    5. When did you develop an                 who remains the head of the firm’s
     “Well, I was born in Pembroke.          sports was not a great thing for me to    interest in accounting?                    mergers and acquisitions, and Stuart
  Both my mom and dad were from              aspire to.”                                  “That really came during university.    Burton. All three of us are still with
  the Ottawa Valley, near Algonquin          3. What did your parents do?              I initially thought that I might choose    RBC. As you may recall, Canada’s
  Park, and at the time Pembroke (had)          “My father was a professional          law as a career.When I got into the        commercial banks – I think it was in
  the nearest hospital. So that was the      engineer and worked for the federal       university program of commerce and         1986 or 1987 – were allowed to enter
  only time I’ve been in Pembroke,           government while we were in Ottawa        finance, law was very interesting,         into other businesses, such as invest-
  actually. I grew up in Ottawa for my       and then worked for the Ministry of       because that was part of it. But I was     ment banking and trust services, so
  first five years and then my family        Natural Resources in Ontario when         very interested in accounting and          RBC purchased Dominion Securities
  moved to just outside Toronto. I           we were in Toronto. My mom was a          auditing because of the importance         Pitfield in 1988.”
  grew up in Markham, which is just          teacher – and still is a teacher. I had   that it has throughout the economy.        9. What was it like working on
  northeast of Toronto. It was a great       her as a teacher when I was in Grade      Going back in time, to the Middle          mergers and acquisitions with
  community – and still is. I went to        3. It taught me the importance of         Ages and early parts of developing         RBC Capital Markets?
  Markham District High School.              delivering on expectations and            economies, ownership and manage-
  My wife Leanne lived not too               performance early on.”                    ment were one. Accounting and the          See 20 QUESTIONS                Page 9
February 9, 2007                                                                                                                                                    Page 9

20 QUESTIONS from Page 8

    Placer Dome merger a career highlight
   “It was great. About 50 per         “RBC Asset Management is       ago, we began to market our         market leaders and managers       products, which have become
cent of my time at RBC              one of the businesses within      funds with (the goal of)            of those sales people.”           very important as Baby
Capital Markets was spent in        the overall wealth-manage-        improving investment                13. How did RBC’s Asset           Boomers age and there’s more
the mergers and acquisitions        ment group of our Canadian        performance and (offering)          Management get such a             focus harvesting one’s port-
area, working very closely with     business and is Canada’s          new products (through)              large market share?               folio. Our investment perform-
two gentleman, Bob Matthews         largest single-fund company.      external channels to brokers           “We’re very pleased with the   ance has been excellent. (In
and Gary Sugar – Gary               The teams within asset            and certified financial planners.   confidence that Canadians and     terms of) our five-year invest-
remains with capital markets –      management are basically          That now accounts for about         advisers have shown in us.We      ment record, I think 90 per
on mining mergers. One of           divided into four areas.The       30 per cent of our sales. Our       have led the industry in net      cent of our clients are in the
the great experiences I had         (sales) group is handled by our   branch investment businesses        sales for the last, I think, 40   top two quartiles. Secondly, we
was the ability to work with        president Brenda Vince.They       report through the wealth           consecutive months. I can         have focused a lot on the
them and advise on the merger       deal through a number of          management business line. But       point to three reasons. One is    development of our branch
of Placer Developments, Dome        distribution partners, the        we don’t directly manage those      our product and investment        investment salespeople
Mines and Campbell Red              biggest one of which is our       7,500 people, they’re managed       performance.We are focused        . . . to give training around
Lake Mines to create which, at      financial planning and branch     by our regional presidents’         on portfolio solutions that       advice and the ability to
the time, was the world’s           investment people in Royal        teams and we work very close-       are tailored for clients’         handle all of the clients’
largest gold producer – Placer      Bank branches across the          ly with those teams. So we’re       particular risk tolerances and    financial-services needs.The
Dome.”                              country.We have 1,500             responsible for the product         do automatic diversification      third is value for money. I
10. Why did you become              dedicated financial planners –    development, the sales support      into not only Canadian            know that there’s a lot of
an analyst?                         some in-branch and some           and content around training.        markets, but also foreign         appropriate focus on manage-
   “RBC made an investment          mobile – and another 7,500        We come out and do client           markets.Those (foreign            ment-expense ratios, as well
in New York in the merger           people who are licensed to        events with the sales people        markets) have been very well      as the fees for Canadian
and arbitrage area, and I was       sell mutual funds across the      (in) the field, but we look         received by our clients and by    mutual funds.
sent down to learn that busi-       country and who (sell) other      to our regional president           our salespeople. Part of our
ness and work with the team         products as well. Five years      partners to really be our           portfolio are our cashflow        See CHARGES           Page 10
that we invested in.We
ultimately concluded that we
would not stay with that
investment. RBC Capital
Markets wondered whether I
wanted to be in investment
banking, or the equity or
research area. I enjoy
writing, I enjoy analysing
and I enjoy reading – all
three things you need to
be a good analyst – and I
had, over the years, gotten
more comfortable with
presentations. So I joined
the (research) area in 1990.
Richard Stovell, who became
the director of research at
that time, was our utilities
analyst. So they were
looking for a pipeline and
utilities analyst and I fit
the bill.”
11. What prompted your
move to RBC’s Asset
   “I’ve been very fortunate
with RBC in all the parts,
capital markets, wealth
management and banking, to
get a new opportunity every
three or four years. I was an
analyst with RBC Capital
Markets for a few years and
then was director of research
for that firm. In the late 1990s,
I had a great opportunity to
lead our institutional-equity
business and that gave me a
sense of (how that business
works.) In 2000, Reay Mackay,
who was the head of RBC
Investments at the time, and
Gord Nixon (president and
CEO of RBC Financial
Group) asked me to take on
the leadership of our asset-
management business – to
move to the buy side, if you
will. It was a wonderful
opportunity and I was very
pleased to take that on.”
12. How does RBC’s Asset
Management’s distribution
system work?
Page 10                                                                                                                                                   February 9, 2007

CHARGES from Page 9

Diversification advised in portfolio strategy
   Ninety-five per cent of our                                                                                                             Chornous is our chief invest-
funds’ (charges) are below the                                            GEORGE LEWIS                                                     ment officer and a member of
industry average and, in most                                                                                                              my team. About a few months
cases, significantly below.          ■ Title: Chairman and CEO of                                         and acquisitions. He became      ago, we had an opportunity.
Whenever there is a focus –          RBC Asset Management Inc.,                                           a financial analyst and          One of our portfolio managers
                                     vice-chairman of RBC Wealth                                          research director, and was
and there’s a continuing focus                                                                                                             left the Global Titans Fund
                                     Management.                                                          promoted to managing director
– on value for money, we tend                                                                             and head of institutional
                                                                                                                                           and I applied to Dan for the
                                     ■ Born/raised/age: Pembroke,
to do well.Those three things        Ont./Ottawa and Markham,                                             equity. In 2000, he was          job of co-managing that fund
(have been the keys):                Ont./46.                                                             appointed to head RBCAM.         and he agreed. I told him he
Performance, people and value        ■ Education: Commerce                                                He also serves as vice-          could fire me whenever he
for money.”                          degree from University of                                            chairman of RBC Wealth           wanted to, without any reper-
14. What do you think this           Toronto, master of business                                          Management, which oversees       cussion.We’re looking for
RRSP season will be like?            administration from Harvard                                          the Canadian full-service        leading companies with a
   “We are optimistic about the      University. Chartered                                                brokerage business, RBC          sustainable competitive ad-
current season. It tends to start    accountant, certified                                                Dominion Securities, RBC’s       vantage in attractive industries,
                                     financial analyst, certified                                         self-directed brokerage
earlier and earlier. November                                                                                                              where they have pricing power
                                     by Institute of Corporate                                            business RBC Direct Investing
and December were good                                                                                                                     and where there’s mutual
                                     Directors.                                                           and personal trust-services
months for us and January is                                                                              business Royal Trust.            growth in demand.We look at
                                     ■ Family: Wife Leanne,
continuing (at the time of this                                           RBCAM’s George Lewis                                             valuation criteria quite closely,
                                     son Elliott, 20, daughter Julia,                                     ■ Moonlighting: Member of
interview.) We’re speaking           17.                                                                  the board of directors of
                                                                                                                                           not only price-to-earnings
about two themes. One                ■ Career: After obtaining a commerce degree       Toronto’s Centre for Addiction and Mental Health    ratios, but pre-cashflow yields
continues around the portfolio       from the U of T’s Trinity College in 1982, Lewis  Foundation, member of the cabinet, former board     and other valuation measures.
approach to investing and how        worked as an accountant and auditor, first with   member of Operation Springboard (which is an        Currently, we have a discipline,
important that is.The second         Arthur Andersen & Co., and obtained his char-     Ontario youth-employment program), board            which Dan has developed
theme is global investing, and       tered accountant designation. In the mid-1980s,   member for Ontario Power Generation Inc., past      over time, called the three
(we’re) highlighting the fact        he enrolled in Harvard’s prestigious business     member of boards of the VISA Canada                 discipline scoring process.
that we do have global               school. After obtaining his MBA, he joined        Association and Moneris Solutions Inc.              It’s a combination of funda-
solutions for our clients.           RBC Capital Markets and assisted with mergers     ■ Passions: History, reading, religion, politics.   mental research, quantitative
The Canadian market is very                                                                                                                research and technical research.
concentrated by sector, so 76       equity investment or global        of the G7 stock markets            for non-Canadian equities.”      It scores all the stocks in all
per cent of the Canadian stock      equity investment and get          over the last five years. So       15. What do you look             the markets around the
market is energy, materials and     exposure to leading companies      one of the messages for            for when investing in a          world, and that’s available to
financial services.What we’ve       in sectors like consumer           advisers and clients,              company – whichever side         our portfolio managers,
been advising people is, simply     stocks, information technology,    simply from a prudence             of the border it’s on?           including myself.
from a risk-diversification         industrials, health care. Canada   point of view, is it’s a             “I can’t speak for all the
perspective, you can add U.S.       has been the best performing       good time to be looking            portfolio managers. Dan          See SCREEN             Page 12
February 9, 2007                                                                                                                                             Page 11

                                                                                                                                      Advertising Feature

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      Quick and flexible
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     n Alberta’s incandescent real
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  the point when land acquisition and
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     Developers and builders realize
  they can’t afford to dawdle when it’s
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     When an important deal is in
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  flexible manner. JayCap Financial                         Jeff Lastiwka (CEO) of JayCap Financial and Graeme T.G. Young (chairman),
  of Edmonton, a dynamic mortgage
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  investment banking company,
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     “The key in our industry is to act    the JayCap business plan. They           at JayCap. Melton has personally          mortgages, tailored to suit the
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     With more than 15 years               partner capital and the available        professional hockey. He even spent        For Jeffrey Lastiwka, call
  experience in the finance industry,      resources we have to offer.”             some time in the Calgary Flames           (780) 641.0555 or email
  and 10 years of direct experience           Together, the associates are          organization during the early 1980s.
  in the management of private             bringing their expertise to bear on      But after he hung up his skates, he       For Andrew Melton, call
  mortgage banking and investment          an under-serviced niche market, a        got serious about his education,          (403) 232.4304 or email
  firms, Lastiwka has built a strong       market with enormous potential.          earning his Certified Management
  company, committed to the creation       As Melton puts it, this alliance works   Accounting designation as well as         For Ron Fredrickson, call
  of wealth and prosperity for             on a number of levels.                   an MBA from the University of             (780) 641.0555 or
  shareholders and investors alike.           For his part, Lastiwka is thrilled    Alberta.                                  email rfredrickson@
     He enjoys a reputation for            by the arrangement: “I knew I had           Lastiwka's extensive network of

               ■ Jeffrey Lastiwka (780) 641.0555              ■ Andrew Melton (403) 232.43404                 ■ Ron Fredrickson (780) 641.0555
Page 12                                                                                                                                                       February 9, 2007

SCREEN from Page 10

  Focus on clients drives business approach
  “What it really helps (do) is                                                                           you’re comfortable with.             excellence to clients, the sec-
to screen out stocks below a                  RBC ASSET MANAGEMENT                                        The natural conclusion from          ond is teamwork, the third is
certain level that tend not to                                                                            that would be: Look for              personal accountability for
perform over time. It doesn’t        ■ Brass: George Lewis, chairman and CEO; Brenda Vince,               opportunities to diversify           high performance, and
tell us what to buy, but it tells    president; Dan Chornous, chief investment officer.                   outside Canada.”                     the fourth is diversity for
                                     ■ Profile: RBC Asset Management (RBCAM) Inc. is a wholly
us what not to buy.We found                                                                               18. What do you want your            growth and innovation.That’s
                                     owned private subsidiary of Royal Bank of Canada. RBC Asset
over time that avoiding mis-                                                                              legacy to be with RBC?               a particular goal and value, not
                                     Management Inc. provides a broad range of investment services
takes is a key to performance.       to investors through mutual funds, pooled funds and portfolios          “A legacy of commitment to        only particularly of Gord
Yes, it’s important to have          managed by third parties.                                            our clients. Of high perform-        Nixon but also of myself.
good-performing stocks in the        ■ Stats: RBCAM manages more than $300 billion worth of client        ance and excitement. Of set-         The fifth one is very central
portfolio, but the way to really     assets. The firm distributes its investment products through 1,500   ting goals that are worthy of        to a wealth-management
add value is to avoid the real       in-branch and mobile financial planners and another 7,500            the people and worthy of             business, which is trust through
bleak negative experiences.”         licensed mutual fund sellers.                                        the organization . . . RBC is        integrity in everything we do.
16. What types of stocks do          ■ Website:                                             one of the most diversified          If my legacy could be that
you think will be perform-           ■ HQ: Royal Trust Tower, P.O. Box 7500, Toronto, M5W 1P9             financial-services companies,        people look at my career
ing well in the next few             ■ Phone: 1-800-769-2599                                              certainly based in Canada.We         and say that I demonstrated
years in Canada?                                                                                          have many cultures.What              those values, that would be
  “Our message is primarily         over-weighting in equities.         the peak of the bubble back in    we’ve found over the years –         great.”
around one of diversification       Our typical recommendation          1999-2000, trading at 35          and this really speaks to            19. If you couldn’t work
and investment in a value-          for a balanced portfolio would      times. Given our constructive     me because I’ve had the              for RBC anymore, what
added portfolio approach. So        be 55 per cent equities and 45      view of the economy and           opportunity to work in               would you do instead?
we don’t provide research           per cent bonds and cash. Right      inflation and interest rates      different parts of RBC – is the         “I think it would be difficult
news on individual stocks, but      now, we’re at 62.5 per cent         and corporate earnings, we        five common values are there,        for me to contemplate that.
RBC’s Capital Markets does.         equities, so we remain quite        still think there’s significant   and I’ve seen this in all parts of
Our overall view of the capital     constructive on the markets.        potential driven not only by      RBC. One is commitment to            See SERVICE            Page 17
markets is a positive one. Dan      It’s basically driven by a view     equity expansion, but also by
Chornous, for example, chairs       that the central banks have         expansion in the price-to-
the RBC investment strategy         been successful around the          earnings multiple.”
committee, which is a global        world in engineering what           17. What’s your advice to
committee of people in the          we would call a soft landing –      investors this RRSP season,
wealth management businesses        in other words, containing          when they’re considering
from around the world for           inflation but not putting the       what to put in their
RBC. He sets our outlook for        economy into a recession. So        portfolio?
interest rates, inflation, equity   we look for low and moderate           “No. 1, speak with (your)
markets. For the last three         levels of inflation, and low and    adviser, because every one
years, they’ve been able to         moderate levels of interest         situation is unique. Examine
add considerable value to not       rates, and continued growth in      your existing portfolio. (You)
only the asset-mix decision         corporate earnings.When we          may find that (your) agreed-
between equities and bonds,         look at the valuations of the       upon asset mix has changed
but also the decision as to         markets around the world, for       because of market moves. So
what geographies or what            example, the U.S. market is         rebalancing the portfolio
sectors to be invested in.Their     only trading at 16.5 times          would be the No. 1 message,
view, which is our view, means      earnings right now. It was, at      back to an asset mix that
February 9, 2007   Page 13
  Invest in Prime Land                       Page 14                                                                                          February 9, 2007
  in Airdrie City Limits

           See Page 4

        ★ 1: AURELIAN RESOURCES                                                     ★ 2: TORR CANADA INC.                                      ★ 3: SOLEX RESOURCES

   Tardif still bullish on energy, gold sectors
  (Business Edge writer Sasha                                                               U.S. so I think that base-metal     gone up a lot. Originally, it     ■  Snapshot: Formerly Earth
Konotopetz regularly profiles the                PRO’S 3 STARS                              stocks are a little more risky      was an exploration company.       Canada Corp.,Torr Canada
top stock picks of some of                                                                  this year. I’d say that gold and    Now it’s a company that has a     develops technology and
Canada’s most accomplished          (sectors). Short term, I’m                              energy are the best sectors         deposit which is probably the     equipment for the extraction
investment pros.)                   not necessarily buying more                             and that base-metal stocks are      largest (gold) deposit discov-    of hydrocarbons from upstream
                                    (energy stocks) but I’m watch-                          pro b a bly riskier, even though    ered in more than a decade –      oil- and gas-produced water.
  FEATURED PRO: Jean-               ing it very closely because I                           they are still cheap.”              maybe two decades. So what        ■ CEO: Alain Ferland.
Francois Tardif is a portfolio      know at some point we are                                                                   could happen in 2007 is that      ■ Head Office: Montreal.
manager with Sprott Asset           going to have some great buys.                                    FIRST STAR                this company is probably          ■ Vital Stats: Revenue
Management (www. sprott.               “We are also fairly bullish on                       ■  Aurelian Resources Inc.          going to be taken over by         (last 12 mos), $3.2 million;
ca). He is the lead manager for gold, as usual, but this year                               (TSXV:ARU)                          some big companies such as        5-Yr Revenue Growth:
the Sprott Opportunities            could be particularly interest-                         ■ Recent Price: $29.                Newmont (Mining), Barrick         102.5 per cent: Earnings,
Hedge Fund.                         ing. Asian currencies could be                          ■ 52-Week Range:                    (Gold) and Goldcorp because       (last 12 mos), $5.4 million;
  Fund Form: The Sprott             moving up substantially in                              $0.61-$43.                          this is the best (company) that   Market Cap, $35.5 million;
Opportunities                                   2007. If that hap-                          ■ Snapshot: Aurelian                those companies have been         Shares Outstanding, 46.2
Hedge Fund has a                                pens, gold bullion                          Resources is a junior explorer      able to get their hands on in a   million.
one-year return of                              and gold stocks                             of precious and base metals in      long, long time. I think that     ■ Tardif ’s V i ew : “When
14.4 per cent as                                could do really well,                       southeastern Ecuador.The            they will increase their          you produce oil, many wells
compared to the                                 so I’m spending                             company’s largest project is the    resources – they are still        produce a lot of water and
group average of                                some time looking                           Condor gold project, which          drilling that deposit – so I      there are still some particles
10.7 per cent                                   at gold ideas. Base-                        controls more than 95,000           think that the stock will end     of oil in the water. (Torr’s)
(through Dec. 31,                               metal stocks have                           hectares of land in 38 mining       the year 2007 at between $45      technology is much better at
2006).The fund has                              done fantastically                          concessions.                        and $75 on a takeover.There is    taking the particles of oil and
an annualized return                            well in 2006.                               ■ CEO: Patrick Anderson.            always political risk because     other bad stuff out of the water
of 33.6 per cent                                  “I don’t think                            ■ Head Office: Toronto.             the company is in Ecuador.”       and the proof of that is that
since its inception      Jean-Francois Tardif that they will                                ■ Vital Stats: R evenue (last       ■ Risk Rating: High.              they received 20-odd contracts
in April of 2004.                               necessarily do that                         12 mos), NA; Earnings/Loss          ■ Web Watch:                      last year in Kuwait. If it’s truly
  Management Expense                well in 2007.There are no                               (last 12 mos), $4.3 million Loss;                   better technology, then once
Ratio: 10.2 per cent (plus          guarantees in the stock market.                         Market Cap, $898.2; Shares                                            you’ve got your first major
performance fees).                  You just try to weigh different                         Outstanding, 31 million.                   SECOND STAR                contract it should be followed
  Tardif ’s Strategy: “Energy       potential scenarios and try to                          ■ Tardif ’s View: “(Aurelian        ■ Torr Canada Inc.                by more major contracts and
has been very weak for almost       put percentage probabilities on                         Resources) made a major             (TSX:TOR)                         eventually the stock should go
a year. Energy is one of our        them and invest accordingly.                            discovery in 2006, so if you        ■ Recent Price: $0.77.            up a lot.
favourite sectors – it is one       The bottom line is that we                              look at the chart in 2006           ■ 52-Week Range:
of my favourite long-term           could have a recession in the                           you’ll see that the stock has       $0.44-$2.07.                      See 3 STARS             Page 17

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    Please join us for our flow through investment presentation on:
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    Sutton Place Hotel, 10235-101 Street, Edmonton
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February 9, 2007                                                                                                                                          Page 15

                                                                                                                                   Advertising Feature

    Prestigious Properties makes
    real estate investment a snap
   Generate cash
   flow while you
   watch property
   value increase

         very would-be
         investor is seeking
         the fiscal equivalent
  of the Holy Grail: a fully
  secured, no-risk deal with
  guaranteed and robust
  rates of return.
    Unfortunately, the Holy
  Grail remains elusive. And
  experienced buyers and
  sellers realize it’s a rare
  investment that doesn’t
  entail at least a minor
  element of risk. But that’s
  the key to wise investment:
  You’ve got to tap into the
  highest possible returns
  while keeping risk as far out   Thomas Beyer, Douglas Thiessen and team members take away the hassles usually associated with pro p e rty management.
  of the picture as possible.     investment community is          appreciate.                    combine positive cash flow       These assets enjoy tax-
    At Prestigious                able to offer absolutely           When a purchase syndi-       with equity growth. Apart-       deferred status until such
  Properties, President           iron-clad guarantees,            cate is formed, such prop-     ment or townhouse com-           time as they are sold,”
  Thomas Beyer and Chief          Prestigious Properties           erties will be acquired,       plexes full of renters tend to   Beyer hastens to add.
  Operating Officer Doug          CAN enable you to share          skillfully managed, appro-     match this profile beautiful-      In short, it’s the perfect
  Thiessen have shown that        in the ownership of a            priately renovated and         ly. Because, as Beyer            way for the man or woman
  the syndicated purchase of      revenue-producing apart-         eventually re-financed         points out, the more rental      in the street to take advan-
  carefully selected rental       ment building that’s as          after a lapse of time rang-    units in the building, the       tage of Western Canada’s
  properties can bring            close to bulletproof as it’s     ing from nine to 24            greater the cash flow –          booming real estate market.
  investors reliable quarterly    possible to be,” he adds.        months. By that time, rents    even after taking care of          Beyer believes mature
  cash flow and significant          Much of the beauty of         will have increased, with a    upfront expenses such as         investors may be kidding
  equity appreciation, with       the plan lies in its simplici-   commensurate rise in the       taxes, mortgage payments         themselves if they believe
  moderate risk.                  ty. Beyer urges you to           value of the building in       and rental management            they can retire off a stock-
    Beyer and Thiessen            become a landlord while          question.                      fees.                            market based investment,
  have developed a highly         leaving all the hassles to         Under the terms of a            As an example, the pres-      such as a mutual fund.
  successful formula that         him and his team. His            pre-arranged exit strategy,    ident cites the company’s        They’d be wiser to put
  has made money for hun-         program works this way:          the syndicate will eventual-   most recent investment           their money into a safe,
  dreds of their associates,      Investors with a minimum         ly sell the asset for as       opportunity. It’s a 104-unit,    inflation-proof REAL estate
  most of them “ordinary”         of $25,000 come aboard           much as 30 to 90 per cent      townhouse-style complex          investment that makes
  investors who have never        as partners in a syndicate       more than the original         in Wetaskiwin, not far           money as you sit back and
  regretted their decision to     to purchase an under-            purchase price.                southeast of Alberta’s           watch its value appreciate.
  enter into a syndicated         managed, under-valued              “There will always be        capital city. Prestigious          Beyer has learned the
  purchase agreement.             property in a well-regarded      demand for residential         Properties is currently pro-     real estate business from
    “Investors generally want     area of a promising city         tenants in dynamic provin-     jecting combined cash flow       the ground up. An award-
  three things: Zero risk,        such as Edmonton,                cial economies such as         (generally distributed on a      winning Christian busi-
  regular income on a             Powell River, B.C. or            B.C., Alberta and Sask-        quarterly basis) and equity      nessman with a glowing
  monthly basis and a 100-        certain medium-sized             atchewan. Time and again,      growth of as much as 15 to       track record, he urges you
  per-cent guaranteed             towns in Saskatchewan,           we have proven the rental      20 per cent a year on this       to get smart and go with a
  chance to watch their equi-     B.C. or Alberta.                 market is a good growth        complex. Beyer believes          winner.
  ty grow at a substantial           Beyer likes to refer to his   area, whether the econo-       the value of this residential      That’s Prestigious
  rate,” says Beyer, an MBA       ideal target properties as       my is strong or soft,” says    property could easily dou-       Properties. It may not be
  from the University of          Class C buildings situated       Bayer.                         ble within four to five years.   the Holy Grail, but it’s as
  Alberta as well as a Gold       in Class B urban neigh-            Prestigious Properties          “And don’t forget, there      close as most investors
  member of the Alberta           bourhoods. These are             expends enormous effort on     are numerous tax advan-          are likely to come.
  Real Estate Investment          choice if underrated             due diligence, carefully and   tages to our program,              Check out the Prestig-
  Network.                        districts, where property        methodically identifying       including flow-through of        ious Properties website:
    “While nobody in the          values seem destined to          potential assets able to       expenses via our LP.   

              ■ Website:                         ■ Phone: 403.678.3330                    ■ Email:
Page 16                                                                                                                                                                  February 9, 2007

Financial virtuoso teaches investment savvy
                                                                               $100,000 or $1 million.”              YWCA in Banff,Alta. Her new        and resources, because that
  Wants kids to                                                                   While schools are emphasiz-        job allows her to spend two        enriches the life of someone
                                                                               ing good grades for the purpose       days a week promoting her          else and keeps that whole cycle
understand how                                                                 of attaining post-secondary           book and newsletter.               spinning. I’ll be rich by 30
                                                                               education, Scorgie, who paid             “The whole concept of Rich      because I’m doing all of those
 to spend, save                                                                for most of her $45,000 tuition       By Thirty is that you want to be   things.”
                                                                               tab with savings, wishes schools      rich by 30 – you                                   Scorgie’s book is
By Sasha Konotopetz                                                            emphasized the money skills           want to be rich by                              becoming part i c u l a r-
Business Edge                                                                  that would enable students to         any age – but the rea-                          ly re l evant as the
                                                                               afford tuition fees.                  son you want to do                              aging       population
                      hen        Lesley                                           “Parents aren’t talking about      that is freedom.                                prepares for a mass-

                      Scorgie extols
                      the virtues of
                      “financial litera-
cy,” the one most emphasized is                          Robin Kuniski photo
                                           Lesley Scorgie’s wealth of
                                                                               it (personal finance), teachers
                                                                               aren’t talking about it. My peers
                                                                               have no idea unless somebody
                                                                               shows them or talks about it,”
                                                                               she says. “Money shouldn’t be
                                                                                                                        “Financial security
                                                                                                                     is the freedom to
                                                                                                                     choose what you
                                                                                                                     want to do with your
                                                                                                                                                                     re t i rement exodus,
                                                                                                                                                                     leaving a void in the
                                                                                                                                                                        “We’ve got some
                                                                                                                                                                     big shoes to fill
   The financial virtuoso won                                                  something that’s hidden – it             “A lot of dreams                             (left from the Baby
her freedom the hard way.                  knowledge is a valuable tool.       should be talked about.               h ave        price-tags                         Boomer generation).
   Faced with a reading                    something, you are going to            “Sixteen-year-olds         have    attached to them.                               There are a lot of
disability and financial hardship          have to figure out a way to raise   more disposable income than           How are you going to go to         gaps in our society, but these are
as a child, Scorgie didn’t just            money for it.’ So I did.”           the average parental unit in          university without money?”         also opportunities.”
h u rdle these hurdles – she                  Scorgie, who attended grade      their homes. It’s going to cell-         Although Scorgie is still          How does one become as
pole-vaulted them.                         school in Edmonton and              phones and pizza and movies.          chasing the million-dollar         opportunistic with their capital
   By age 10, Scorgie had gone             Calgary, parlayed a new-found       And why? Because these kids           benchmark, she aspires to be       as Scorgie?
from being a challenged reader             knack for reading into a pleas-     have everything paid for them.”       rich by the definition described      “The No. 1 recommendation
to challenging herself with                u re for reading stories with          Although she says she hasn’t       in her book. “Whether I have       that I can make to any young
financial books and articles.              charts and tables instead of pic-   had time to approach school           $1 million or whether I have $5    person is start now,” she says.
Now 23, she has released her               tures. “I went from not reading     boards about implementing the         million or $100,000, being rich    “The longer you wait, the more
own personal-finance book for              anything to reading 500-page        teachings from her newsletter         is having – and I stress this in   you cheat yourself out of time
people under 30.                           novels and enjoying them and        into school curriculum, Scorgie       the book – three components        and time allows for compound-
   Scorgie became fixated by               reading financial columns. I        says her wealth of knowledge          of wealth,” she says.              ed interest, which is free to any-
finances at an age when most               liked articles because they were    has been in demand.                      “The first and foremost is      body that invests their money.
kids haven’t even heard of a               free and they were short.”             “Some schools really warmed        being able to spend your              “If you invested $35 a month
bank account, in hope of find-                Scorgie, who has read “pretty    up to the idea, because it is a       money wisely and the second        starting at the age of 16 and
ing a solution to her family’s             much every personal-finance         regular publication and it’s          component is being able to save    i n c reased it as your income
financial instability.                     book available,” didn’t take long   designed like curriculum.             and invest for your future.        increases, you could probably
   And while she isn’t banking             to realize her financial goal was   Every article in the newsletter          “The third component is         stop investing your money at 45
on her book, R i ch By Thirty – A          to turn her spending money          has re l evant (information),         being able to give back to the     years old and have a million
Young Adult’s Guide to Financial           into saving money.                  whether it’s how to save on a         community through your time        dollars.”
S u c c e s s,to make her just that, she      It was a fateful viewing of a    cellphone bill or how to have a
was touted as a millionaire by             Canada Savings Bond commer-         stock-market portfolio.
age 25 on Oprah Winfrey’s TV               cial that led Scorgie to make          “I’d love to see it in the         RETIRE TO MEXICO: Free information session
show when she was only 17.                 her first investment.               school system. I think that it’s a    ■ A Chartered Accountant’s View
   Today, the Calgarian is dedi-              “I saved $100 and bought my      really va l u a ble tool. I don’t     on Snowbird vs Non-Residency
cated to offering advice for her           first Canada Savings Bond           know if I am going to be able         ■ Retirement Lifestyle Trends –
generation and future genera-              because, for a 10-year-old, that    to break those barriers, but I’m      Cost of living, etc.
tions as to why they should put            was easy to understand.You buy      certainly going to try.”              ■ Issues Related to Personal
their collection of coinage into           a bond now and seven years             Scorgie recently left a job at a   Risk & Health Care Insurance
something more secure than a               later your $100 bond is worth       Calgary brokerage firm where
                                                                                                                                   TUES. FEB. 27th, 2007 – 6:30 p.m.
piggy bank – and how they can              $130, and you didn’t have to do     she did equity research, work-
                                                                                                                              Carriage House Inn, Calgary - Limited Seating
get a firm grip on their loose             anything for it,” she says.         ing 80 hours a week. The
                                                                                                                                   WED. APRIL 4th, 2007 – 6:30 p.m.
change.                                       “It’s simple realizations that   former YWCA volunteer has
   Scorgie, a 2005 University of           can sometimes be wonderful.         taken a part-time position as a                 Greenwood Inn, Edmonton - Limited Seating
Alberta marketing and finance              Imagine if you did that with        director of marketing at the               • 403-366-0786 •
graduate, p rovides practical
answers to issues she says aren’t
being taught in schools.
   “My inspiration (for Rich By
Thirty) came from the fact that
there is nothing in our school
system for teaching young
people            (about      personal
finance),” says Scorgie, who is
also the editor in chief of the
Rich by Thirty newsletter.
   “If there’s anything it’s, you
know, a one-period class in
high school.”
   Focused on building what
she called her “empire” as a
child, Scorgie’s initial motiva-
tion came from her desire to
earn spending money she
wouldn’t otherwise get.
   “We didn’t have any money
when I was growing up. My
parents were back in school and
we were living off of, like,
$24,000 per year, which is just
above the poverty line.And that
was for a family of five.
   “My parents said:‘If you need
February 9, 2007                                                                                                                                                    Page 17

SERVICE from Page 12

 Public policy and politics a particular interest
  “But I suppose that I would      charitable organizations,         have a career in business, but      enterprise system can be          but they’re ultimately
enjoy reading for a while and,     not-for-profit groups or public   (I’m) also interested in public     mutually reinforcing forces.      (messages) of tolerance and
at some different points in        service.That would probably       policy and politics. (I’m) very     Sometimes, they’re perceived      diversity, that I think are
time, I’d probably entertain the   be something that I would         interested in religion and work     to be in conflict.The individ-    (among) the strengths of
thought of writing a few           turn my mind to at that point     with our Anglican Bishop of         ual human soul, in most           Canada.That might be the
books or getting into another      in time.”                         Toronto (Right Reverend             cases, is really central to our   theme around what I would
aspect of service. I know many     20. What would you                Colin Johnson) to chair a           belief in democracy and essen-    be writing about.”
of my colleagues from Harvard      write about if you wrote          group that works on his             tial to our free-market system.      (Monte Stewart can be reached
Business School and others         books?                            behalf.What strikes me is           Those are not new messages,       at
have gone on to careers with         “I’ve been very fortunate to    how democracy and the free-

3 STARS from Page 14

Firm focused on uranium play
   “You’re protected on the        ■ Web Watch:                         Disclosure: Tardif owns
downside because they have            shares in the Sprott Oppor-
close to 50-per-cent per share                                       tunities Hedge Fund in which
cash.”                               Tardif ’s Edge Record           the featured stocks are held.
■ Risk Rating: High.               (last 12 mos): +4.9 per cent.        (This feature is provided for
■ Web Watch:                       Best Pick: Geniver Income         informational purposes. Investors                 Fund (TSX:GVN.UN) +40.6           are advised to do their own
          THIRD STAR               per cent. Worst Pick: Strong-     research or consult a qualified
■ Solex Resources Corp.            co Income Fund (TSX:              investment professional before
(TSXV:SOX)                         SQP.UN) -78.9 per cent.           making investment decisions.)
■ Recent Price: $1.35.
■ 52-Week Range:
■ Snapshot: Solex Resources
specializes in the acquisition
and development of uranium
and base-metals properties in
Peru.The company targets
previously discovered but
largely unexplored high-grade
uranium and base-metals
properties for acquisition.
■ CEO: Sebastian Reidl.
■ Head Office: Vancouver.
■ Vital Stats: Revenue (last
12 mos), NA; Market Cap,
$51.9 million; Shares
Outstanding, 41.5 million.
■ Tardif ’s View: “(Solex
Resources) has a very low
market cap and it has a few
uranium properties in South
America.They actually have
one base-metals property, but I
am very excited about this
company’s uranium properties.
We believe that there are
probably 50 million pounds of
uranium (on Solex-owned
properties). Over the next
few weeks, the next few
months and throughout the
year we are going to be
getting more and more
results to prove that they have
50 million (pounds) or more.”
■ Risk Rating: High.

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                                      Page 18                                                                                    February 9, 2007
 don’t grow it alone

        See Page 12

 Partnerships required to develop oilsands
           f we want to proceed                                                                                                                       for Sustainable Energy,
           with our announced            Environmental concerns prompt technological shift                                                            Environment and Economy
           plans, we have to                                                                                                                          (ISEEE) at the Unive rsity of
           change the way we             In the U.S., the George W.         taxes on any oilsands products        dramatic improvements in oil-       Calgary has both the expertise
are operating.”                       Bush administration has               coming into his state, as a           sands emissions.                    and technical research
   This recent comment from           expressed rising concerns             result of heavy pressure from           But there is still important      capability to help deliver such a
an energy industry colleague is about energy security. During               local environmental groups.           work to be done in the devel-       partnership.
being expressed more and              a recent trip to Washington,             For A l b e rta to address these   opment of this technology to           ISEEE has the vision and the
more frequently, even by folks        D.C., one of the Senate staffers      problems, we need fundamental         make it commercial.                 experience in bringing parties
such as former                                    said to me: “Alberta      technology change such as               No one company or govern-         together and creating a new
Alberta premier                GUEST              is now the most           “clean coal” or “bitumen coke”        ment can do it on its own.We        sustainable fossil-fuels econo-
Peter Lougheed.
   How does Alberta          OPINION strategic energy
                                                   source for the U.S.
                                                                            (coke is a byproduct of oilsands
                                                                            production) processes, c o m-
                                                                                                                  need all the best brains work-
                                                                                                                  ing together.We need a new
                                                                                                                                                      my for Alberta.The institute
                                                                                                                                                      has the close links to industry
proceed with the                                   in the world, given      bined with underground seq-           grand partnership between           and government, yet the
huge expansion of                                  our problems in the      uestration in geological re s e r-    industry, governments and           necessary independence to
oilsands and thermal                               Middle East and          voirs of remaining emissions.         the universities to speed the       help build public credibility.
power given the                                    with Venezuela.             How would this work? We            technical, the scientific and the      This is a huge challenge for
growing public                                     Five million oilsands    would take coal or oilsands           policy innovation needed.           our province and the future of
expectations for                                   barrels a day will       coke, gasify it as a fuel, capture      We need an outreach pro-          our energy industries.
environmental                                      greatly strengthen       sulphur or other pollutants,          gram to the public to gain their       Let us all work together and
stewardship and                                    American foreign         and permanently store the             u n d e rstanding and support.We    get on with the job.
emissions cuts? This                               policy.”                 remaining carbon dioxide              need new market mechanisms             (Robert (Bob) Page is ISEEE’s
is clearly an issue                                  The Canadian           underground.                          to complement government            new TransAlta Professor of
that has to be                                     government has              For a new power plant with         regulations.We need the             Environmental Management and
addressed.                 Bob Page                promised the             such technology, the combus-          political will and leadership to    Sustainability. He was formerly
   For decades, the        For Business Edge       Americans access to      tion would be virtually emis-         bring the parties together.         vice-president of sustainable
two oilsands plants                                these reserves,          sions-free. It would also mean          The fast-growing Institute        development at TransAlta Corp.)
owned by Suncor and                   which adds to the pressure for
Syncrude operated in splendid         environmental-management

                                                                                                  Invest As A
isolation north of the Alberta        solutions.
mainstream.They survived                 With the increased oil
with technical adaptations,           prices, the world has come

                                                                                                  Real Estate Developer!
production interruptions and          knocking to northern Alberta.
patient investors because there       The two original oilsands
was a firm belief that technical plants will now be joined by
innovation would drive down
costs and improve efficiency.
                                      another 20 or 25 facilities
                                      under construction or planned.                                                    Land Within Calgary City Limits
   With perseverance and                 Most of the major producers
ingenuity, these companies saw are involved directly or
their vision converted into           indirectly, as well as the state-
                                                                                   • Exceptional rate of return, call for details
commercial reality.                   owned “national” oil com-
   One of the key factors in          panies from countries such as                • Investments starting at $9,500
that achievement was the              India and China, which are
                                                                                   • Huge upside potential in Calgary’s booming economy
pooling of the best brain             seeking supplies for their
power in the province. A              domestic consumption.                        • RRSP eligible
large government-industry-               Globally, the Alberta oilsands
university partnership was            represent the hottest oil boom
created called AOSTRA
(Alberta Oil Sands Technology
                                      today.The basic problems for
                                      the Fort McMurray area are
                                                                               Commercial Complex, Calgary
and Research Authority),              complex and interconnected.
which tackled the technology             Oilsands production is
and other issues.                     much more greenhouse gas-
   This consortium drove the          intensive than convention oil
development of the technology production, and also creates
breakthroughs, which in turn          emissions of the acid rain-
drove down the costs per bar-         causing sulphur dioxide.
rel.This converted the oilsands          There are also serious issues
into the mainstream of the oil        about the availability of
and gas business, and assured its enough water and about the
commercial future and its             water quality of adjacent rive rs .
attractiveness to investors.          The oilsands plants will disturb
   We need a similar grand            a huge area of northern Alberta
partnership to make the               for wildlife and First Nations.
oilsands and coal reserves               The urban infrastructure is
renewable and sustainable             quite inadequate for the huge            • 2.85 acre; commercial multiphase office complex
resources, consistent with            influx of workers and their
public expectations on safe-          families.                                  60,000 sq. ft. along Deerfoot Tr. South
guarding the environment.                While the issues are many,
   In the last five years, Alberta’s the public concerns about the            To attend an information seminar or receive an information package
energy reserves have increased        environment top the list and                       call (403) 291-2456 or toll free 1-866-379-4274
in global importance, due to          are attracting international
the huge increase in world            attention.                                                  
                                                                                                          Southbend Crown Centre
oil prices and declining                 Gov. Arnold Schwarzenegger
exploration and production            of California recently
levels in North America.              announced significant new
February 9, 2007                                                                                                                                                                            Page 19

Mining industry savours nationwide boom
Producers press                           has been a difficult period,” he
                                          says.“We’ve seen major declines
                                                                                have been strong and others
                                                                                have not. The unprecedented
                                                                                                                    wo rth of mining investment in
                                                                                                                    Canada, says A n d rews. He
                                                                                                                                                            climbed to US$5.5 billion from
                                                                                                                                                            under US$2 billion in 1999-
                                          of prices. But over the last two      part about this one is: Every       expects that figure to increase by      2000.
for streamlined                           or three years, certainly the last    commodity is up.”                   $150-$200 million more this
                                          two, we’ve seen a major recov-          In 2006, there was $1.2 billion   year. Globally, investment has           See MINING                   Page 20
 review process                           ery in markets and prices, driv-
                                          en by Chinese demand. It’s had
By Monte Stewart                          a huge factor on the market and                    If you had invested with us in            Your return would have been
Business Edge                             we’re seeing some of the high-
                                          est prices we’ve ever seen for                               Spring 2004                     112%
       .C. is leading the country         some commodities.”
B      in new mining projects as
the entire Canadian industry
                                             But Peeling says the 25 new
                                          mines forecast for B.C. will be
                                                                                                          Fall 2004                    268%
enjoys a boom based on high               slow to open because the feder-                                      2005                    106%
commodity prices, say provin-             al assessment process, which is
cial government officials, pro-           largely environmental in scope,                                      2006                    71%
ducers and explorers                      does not have the capacity to
   After years of struggling to           review so many projects.
keep its industry afloat, B.C.               “So we’ve been pressing the                                                               Can your investments
now accounts for 25 of 52                 federal gove rnment to deal                                                                  deliver regular cash, grow
Canadian mine projects that are           with this issue and put more
seeking development and envi-             (financial) resources in place so                                                            tax free and outlive you?
ronmental approvals.                      we can get mining projects
   This year, B.C. is expected to         through the assessment phase                                                                 Target Yield: 75% to sometimes over 100% in 4 to 6 years,
exceed the record of $265 mil-            more quickly,” he says.                    Why Invest in Apartment Buildings?                frequently much much higher (but not guaranteed). This is
lion worth of exploration                    Producers are also pushing                                                                a combination of cash-flow, mortgage paydown, value
e x p e n d i t u re s , set in 2006,     Ottawa to integrate and har-                                                                 improvements and equity growth, before taxes but after
                                                                                        ● Positive, monthly cash flow
                                                                                                                                       all management fees/share. Values shown above based on
which was a 20-per-cent                   monize its rev i ew pro c e s s e s           ● Always a demand from renters                 building values sold, appraised and/or if sold today.
increase over 2005.The expen-             with its provincial counterparts.             ● Historically low vacancy rates               Past results not a guarantee of future performance.
ditures covered 617 exploration              However, environmentalists                 ● Huge house/condo price                       Investment sold via offering memorandum only. This is
projects.                                 h ave countered that rev i ew                                                                not a solicitation of investments. Eligibility rules apply –
                                                                                          increases make renting the                   depending on province. Minimum investment $25,000.
   The results were reve a l e d          p rocesses should take longer                                                                RRSP Eligible. Well over $8,000,000 has been invested in
                                                                                          economic choice – a paradigm shift
prior to the recent Mineral               because projects are increasing-                                                             various ventures already – proven track record – proven
                                                                                          in Western Canada
Exploration Roundup 2007                  ly complex.                                                                                  results – fairly low risk. Over $40,000,000 of assets under
                                                                                        ● Mortgage paydown / leverage                  management. We turn under-managed, under-valued
conference in Vancouver, which               “We don’t need to lower our
attracted approximately 5,000             standards, but we just need to                ● Substantial equity appreciation /            apartment buildings into Prestigious Properties, for the
                                                                                                                                       benefit of the tenants, the investors and the communities.
delegates from across the coun-           make the system work more                       value improvements
try.                                      efficiently,” says Peeling. “And,
   Conference attendees say               since this is a cyclical business,         Why Invest with Prestigious Properties?            
B.C. heads a national industry            we want to hit the market at
that is riding a rare “super              the right time.”                              ● Excellent return                                      ➤ RRSP Eligible
cycle” of high commodity                     Still, Peeling and Tony                    ● Ethical stewardship by lead managers
prices spanning all mineral               Andrews, executive director of                ● Outstanding track record - references
types.                                    the Toronto-based Prospectors                 ● Long-term hold with cash flow and
   Tom Schroeter, the B.C. gov-           and Developers Association of                   equity upside
ernment’s top geologist, says             Canada (PDAC), are predicting                 ● Become a landlord without the hassles
p ro d u c e rs operating in the          commodity prices will remain
                                                                                        ● No inflated going-in values
province could complete $9.5              high for several more years.
billion worth of capital spend-              “It’s quite unprecedented,
ing on 50 mine projects in the            because as you know, this is a                   For more information, please contact us at 1-877-434-4345
province over the next four               cyclical industry,” says Andrews
years.                                    about the national boom. “In                                    or
   “Those (figures) will change           the past, when we’ve had                               or check our website at
as time goes along,” s ay s               cycles, certain commodities
Schroeter. “But for now, (the
projected $9.5-billion invest-
ment) is just a ballpark figure
that indicates how robust we
could be.”
   Gordon Peeling, p re s i d e n t
and CEO of the Mining
Association of Canada (MAC),
which re p resents metal, d i a-
mond and oilsands producers,
says B.C. operators are “catch-
ing up” to the rest of the
Canadian industry after a
decade of declining investment.
   “The actual growth in B.C. is
interesting to see – and quite
e x t r a o rd i n a ry,” says Peeling.
“But you have to understand
that, for about 10 years, British
Columbia was basically off-lim-
its for the mining industry
because of (provincial) govern-
ment policy as it supports the
industry and the mines.”
   The rest of the Canadian
industry is also recovering, says
   “The bulk of the last 10 years
Page 20                                                                                                                                                         February 9, 2007

from Page 19                             Pessimism growing as Canadians examine their future lifestyle
                                       Business Edge                       survey      from      Mackenzie      in their gloomy outlook. From     believing you need $2.52 mil-

 ‘Grassroots’                             More than one-third of
                                       Canadians believe their current
                                                                             People might be pessimistic
                                                                           partly because they don’t
                                                                                                                1994 to 2004, inflation jumped
                                                                                                                22.2 per cent while individual
                                                                                                                earnings increased only 14.7
                                                                                                                                                  lion, compared to women, who
                                                                                                                                                  said $1.99 million. Not surpris-
                                                                                                                                                  ingly, 85 per cent of Canadians
 exploration                           lifestyle will be unaffordable in
                                       10 years, says a survey.
                                          Another 24 per cent predict-
                                                                           expect      significant     salary
                                                                           increases in the years ahead: 40
                                                                           per cent of Canadians believe
                                                                                                                per cent, underpinning con-
                                                                                                                cerns for future buying power.
                                                                                                                  On average, Canadians define
                                                                                                                                                  do not consider themselves to
                                                                                                                                                  be financially wealthy.
                                                                                                                                                     Decima Research conducted
  called key                           ed their lifestyle would remain
                                       about the same, while only 32
                                                                           their salary will either stay the
                                                                           same, decrease or rise by 10 per
                                                                                                                financially wealthy individuals
                                                                                                                as those with $2.26 million in
                                                                                                                                                  telephone surveys for Mac-
                                                                                                                                                  kenzie between Oct. 26-30,
                                       per cent think their lifestyle      cent or less.                        total assets. Men have a higher   2006 with a sample of 1,000
  to growth                            will be better, according to the      Inflation may also play a role     benchmark than women,             Canadians aged 18 and over.

   While B.C. is challenging
Ontario for bragging rights as
Canada’s most active mining
province, other regions are also
enjoying good times.
   “Alberta hasn’t been a big
jurisdiction for mining per se,
unless you want to call the oil-
sands mining,” says Andrews.
“It’s the biggest mining opera-
tion in the world.”
   Saskatchewan is also a strong
contender with potash, urani-
um and gold mining, he adds.
The province is also rich in
kimberlites, the mineral forms
that bear diamonds.
   “They’re fortunate to have
some great geolog y,” says
Andrews, adding the demand
for potash and uranium is only
going to increase.
   Nationally, continued invest-
ment in “grassroots,” or earli-
est-stage, exploration will be
the key to long-term growth,
Andrews says.
   As a result, PDAC is lobbying
O t t awa to extend a flow-
t h ro u g h - s h a re program that
grants tax breaks to investors
who buy shares in exploration
companies that are spending
dollars in Canada.
   The three-year federal pro-
gram is due to expire in
   B.C. government geologist
S c h ro eter says grassroots
spending should account for
20-24 per cent of total industry
expenditures, but has only been
at the 12- to 14-per-cent level
in the past two years.
   A c t ivity is ramping up
now because companies have
modernized mineral-re s e rve
estimates on properties that
were discovered in the 1960s
and 1980s, but sat idle because
of low commodity prices and
political uncertainty.
   As a result, he predicts this
year’s overall investment in
B.C. will be “much better”
than last year, when projects
were delayed because of labour
shortages, the slow return of
lab results, and a lack of avail-
able equipment that prompted
some pro d u c e rs to purc h a s e
their own drills.
   MAC president Peeling says
it will be difficult for com-
panies to lure some Canadian
mine workers home because
they pay much lower personal
income taxes in other parts of
the world.
   (Monte Stewart can be reached
February 9, 2007                                                                                                                                      Page 21

                                                                                                                                Advertising Feature

     Businesses can beat big utility bills
        at 51st Avenue Building Park
    makes Edmonton
    project a great
  OK,         so Kermit the Frog was
              bang on. It’s not that
  easy being green. But it just got a
  whole lot cheaper, especially for
  those industrial and corporate
  clients planning to move their
  operations into the 51st Avenue
  Building Park in south Edmonton.
    In a climate of rising energy
  costs, those who’ve opted to
  purchase warehouse or office
  space in this ultra-modern and
  super-versatile business complex
                                               51st Avenue Building Park is being built on a prime southside office/warehouse location in Edmonton.
  can kiss those annoying utility bills
  goodbye.                                brings you the ultimate in climate     to the Whitemud Freeway, Calgary       workforce? Never fear. If you act
    Occupants will enjoy the              control, as well as a seven-year       Trail and downtown. The Park will      quickly, multiple units are still
  utmost in climate-controlled            performance warranty. All that’s       consist of four separate concrete      available to meet your specific
  comfort when they move their            required is minimal and occasional     and steel structures – three           requirements.
  enterprise into these magnificent       maintenance touch-ups on the           buildings will be a combination           Meanwhile, office units range
  units, individually heated and          geothermal heat pump. But don’t        of warehouse and office space          from 795 sq. ft. all the way up to
  cooled by environmentally friendly      let that worry you. Clarke equates     while the fourth, which will front     2,556 sq. ft. Again, those in need
  geothermal technology.                  the complexity of the job to           on 51st Avenue, will feature           of additional space are welcome
    How does it work? Each unit           changing the air-flow filter on        offices only, with underground         to purchase additional adjacent
  is warmed and air-conditioned           your residential furnace.              parking available.                     units.
  in turn, by means of an under-             “We’re pleased to be bringing         “Pretty hard to beat, when you          Construction on this superb
  ground water and ethanol-based          such an environmentally sound          think about it,” Clarke continues.     complex is due to launch in early
  circulation system that collects        complex to the Edmonton                “We’ll be situated in a high-traffic   spring, although geothermal
  warm or cool air from beneath the       marketplace, no question,” Clarke      location. As a matter of fact, it’s    drilling has already started.
  earth, then transports it back          adds. “But there’s more to it than     one of the last pieces of vacant       Meanwhile, pre-sales have rapidly
  above ground. Technically, there’s      that. We sincerely believe this is     land available anywhere on this        kicked in. Needless to say, the
  much more to the process, but           a superior system. It’s efficient,     street.”                               addition of such a quality project
  those are the essential facts.          cost-effective and comfortable.”         In short, we’re talking about a      to Edmonton’s extremely robust
    “You can forget all about paying         And talking of comfortable, the     prime southside office/warehouse       industrial market has already
  your gas bill,” nods John Clarke,       front two buildings are attached       location that has already drawn        generated plenty of interest.
  construction manager for                directly to the underground            interest from physicians, lawyers,        Guild Developments Inc.
  Guild Developments Inc. We’re           parkade, while buildings three         insurance brokers, financial           prides itself on the strength of
  talking about a tremendous              and four have elevators directly to    planners and other potential           its dedication to quality, its
  economical advantage here.              the underground parkade.               end-users who know a terrific          professional approach to sales
  Based on conservative estimates,           Meanwhile, triple-glazed            site when they see it.                 and service and its commitment to
  those who purchase space                windows and an additional two            Situated to take advantage of        the highest ethical standards and
  at The Park stand to save               inches of acrylic stucco insulation    51st Avenue access, The Park           best business practices.
  thousands on annual heating             built into exterior walls add to the   utilizes steel and concrete               To make a purchase enquiry
  and air-conditioning costs.             energy-efficiency of these state-of-   construction and offers a pleasing     about the 51st Avenue Building
    “Each unit is individually            the-art buildings, to be ready for     variety of floor plans intended to     Park, please get in touch with the
  metered as well. That means             occupancy by late fall of 2007.        meet the needs of a broad variety      company today. Either stop by the
  you have complete control of the           An ecological showplace,            of occupants.                          office at 9841 41st Avenue in
  temperature in your own space,”         the 51st Avenue Building Park            Warehouse units are equipped         Edmonton or telephone
  Clarke chips in.                        meets all the other criteria for       with 200-ampere, 3-phase power         780.450.9778. Feel welcome to
    Apart from straight dollars and       an outstanding real estate             capability and range in size from      visit the Guild website at
  cents, geothermal ventilation           investment. Near the top of the        1,412 sq. ft. to a maximum of
  means wall-to-wall comfort in an        list is the location, on prime         2,800 sq. ft. Not enough room to       or get in touch by emailing
  office or warehouse space that          property that offers ready access      accommodate your expanding   

     ■ 51st Avenue Building Park ■ Phone: 780.450.9778 ■ Website: ■ Email:
Page 22                                                                                                                                                                February 9, 2007

  Saskatchewan sings siren song for ex-pats
                                                                                                                  rate impressions of our              Weyburn checks in at a modest
     Provincial                                                                                                   province,” she states. “We have      $105,000, below even Sask-
                                                                                                                  an attractive way of life and an     atchewan’s average of $138,000.
    government                                                                                                    affordable lifestyle, compared to       Like the provincial campaign,
                                                                                                                  Alberta.”                            Weyburn’s promotion includes
    pitches jobs                                                                                                     For the moment, the Alberta       testimonials, including one
                                                                                                                  government is watching the           from “self-proclaimed ambassa-
    ‘back home’                                                                                                   campaign with interest, but has      dor” Heather van der Breggen.
                                                                                                                  made no response.                    She and husband Abraham
By Bill Armstrong                                                                                                    “The new reality is that          moved back to his hometown
Business Edge                                                                                                     everybody across the country         from Calgary five years ago.
                                                                                                                  is competing for people,”               She traded her “go-go-go”

        nviting Albertans to “Go                                                                                  observes Dorothy Schreiber, a        career as an interior designer
        where the jobs are” might                                                                                 spokeswoman for the province’s       for the chance to slow down
        seem counter-intuitive,                                                                                   Department of Employment,            and enjoy simple pleasures such
        but that’s exactly what the                                                                               Immigration and Industry.            as meals with her family.
                                                                                  Bill Armstrong, Business Edge
S a s k a t c h ew government is                                                                                  “Some are becoming very                 Working as an interior-
doing with a $200,000 market-           ‘Self-proclaimed ambassador’ Heather van der Breggen.                     creative.”                           design consultant in a flooring
ing campaign that it launched           manager position with Atco             Besides Urzada, Lothian has           The new reality also includes     and home decor store in
in Alberta in mid-January.              Stru c t u res in B. C. , but he also attracted an ex-pat couple          initiatives by individual com-       Wey burn, van der Bre g g e n
   For years, Saskatchewan folks        wanted to work in the oil and with two children back to                   munities in Saskatchewan             observes the quickening pace in
watched their sons, daughters           gas industry.                        Regina. She has expertise in oil     searching for people to fill job     the residential and commercial
and neighbours head west in                A chance exchange of e- and gas accounting. Through                    vacancies.                           real estate markets.
search of opportunities.                mails with Craig Lothian, the his contacts, Lothian was able to              Last October, the Gre a t e r        “We had two couples come
   And while Saskatchewan               president and CEO of Regina- generate several job offers for              Saskatoon Chamber of Com-            in a few days ago, each looking
boosters have long emphasized           based Keystone Energy, led to a her husband.                              merce held a business-to-busi-       to decorate brand-new homes,”
the province’s afford a bl e, relaxed   job offer as assistant chief finan-    The centrepiece of the “Go         ness tradeshow in Calgary to         she say s . “There’s also a
lifestyle, the outmigration con-        cial officer at Keystone.            where the jobs are” campaign is      inform potential investors of        plumber-electrician who came
tinued. Jobs, careers and big-city         “The stars aligned,” says, a website listing               opportunities in the city.           from High River to work for a
life trumped Saskatchewan’s             Urzada. “I wanted to be close everything from entry-level to                 And, just days before the         contractor here. He’s now set-
more laid-back appeal.                  to my family, but I was also high-end jobs. It has become                 p rovince launched its cam-          ting up his own business. We’re
   But the westbound traffic            interested in oil and gas. I knew the “go-to” site for job postings       paign, a handful of Saskatoon        also seeing a lot of commercial
pattern may be changing. For            I wouldn’t have an opportunity in the province, with more than            businesses attended the Calgary      space renovated or remodelled,
the first time in years, Sask-          to learn and develop my career 5,000 listings on any given day.           Homebuilders show, to get the        which reflects the growing
atchewan’s population numbers           in Calgary in the same manner.         “We sent letters to 35,000         word out to a more general           optimism in the marketplace.”
began to inch up in 2006.                  “The lifestyle in moving back employers in Saskatchewa n               audience.                               Will Saskatchewan’s cheeky
   Now the provincial govern-           has been an adjustment, but I when we launched the website,                  “Obviously, Alberta hasn’t        appeal to “Go where the jobs
ment is getting the word out to         like it.” (As part of its “build and and followed that with ads,” says    fallen off a cliff, but people       are” catch people’s attention in
thousands of Saskatchewan               sell” strategy, Keystone recently Pat Atkinson, Saskatchewan’s            need to know that for the last       Canada’s hottest job market?
expatriates living in Alberta;          sold its assets to two public minister of advanced education              three years, Saskatchewan has        Will those ex-pats decide that
their home province is experi-          companies. Urzada is now and employment. “We’re being                     been creating a lot of jobs,” says   Saskatchewan’s “rush minute” is
encing its own resource boom.           CFO with a new exploration a bit cheeky by taking it into                                     i
                                                                                                                  Kent Smith-W n d s o r, the          more inviting than life in the
Labour shortages are not just an        company, Villanova Energy Alberta, but if we can get it into              chamber’s executive director.        fast lane, with the prospect of
Alberta phenomenon.                     Corp.)                               our psyche in this province,            In Wey bu rn, population          ever-longer commutes and
   The people profiled in the              “Being in the oil industry in and also let ex-pats know to             10,000, the city and the region-     large mortgages?
ads popping up in Alberta               Regina presents a host of chal- check out, we’ll be           al economic development                 The provincial government,
represent the campaign’s demo-          lenges, including finding expe- in better shape.”                         authority teamed up to create an     c o m munities and economic
graphic sweet spot. T h ey ’re          rienced personnel,” Lothian            Atkinson says the campaign         eight-page brochure promoting        development         organizations
young, educated and hold chal-          says. “Advertising in the indus- has created a huge amount of             the area as a low-cost place to      around the province are betting
lenging jobs.                           try papers brought zero media activity and discussion in                  work, do business and retire.        there’s a receptive audience in
   Eric Urzada, for example, is         response, so we now look for Alberta, and her department is                  Prominently displayed on the      Alberta to the call to “come
26. He grew up in Regina and            former Saskatchewan residents receiving a steady stream of                front page is a comparison of        home.”
studied accounting at the               who haven’t developed too- calls from people wanting to                   average housing prices in cities        (Bill Armstrong can be reached at
University of Calgary’s school          deep roots in Calgary, and offer know what’s going on in                  across      Western      Canada.
of business.                            them opportunities to be Saskatchewan.
   He was working in Calgary,           involved in a dynamic process          “I think we’re cutting
and had been offered a sales            with lots of moving pieces.”         through the tired and inaccu-

   Use Someone Else’s Money
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February 9, 2007                                                                                                                                                                    Page 23

  Arctic watershed gold mine                                                                         

 for ecological goods, services                                                                                              The name that say’s it all……
                                                                                                               If you are looking for an IT Professional or you are an
                                                                                                                   IT Professional looking for your next opportunity,
                                                                                                                            contact us on: 403.444.3631
The Canadian Press                        land providing them. The            attempt to squelch deve l o p-
                                          report calculates that if those     ment in the North, where jobs
   An innovative report on the            services are degraded by half,      are both needed and eagerly
value of the Mackenzie Valley             developed areas actually lose       anticipated, but an attempt to
and Delta region has concluded            worth.                              broaden the thinking behind
that the “ecological goods and               “In 2005, the benefits of        land-use planning.                 Calgaryitjobs is part of the Proxime Recruitment Solutions Ltd Group
services” provided by the vast            $41.9 billion in GDP from nat-         “How do we stewa rd it?
western Arctic watershed are              ural capital commercialization      How do we use it wisely?” he
worth 10 times the value of its           have come at an ecological          asks.
natural resources.                        d e p reciation cost of $67.3          Canadians enjoy some of the
   “The study shows the impor-            billion,” the report says.          richest natural capital in the
tance and real socio-cultural-               Innes says the report isn’t an   world, said Innes.
economic value of conserving
natural capital, and balancing
sustainable development with
protecting intact ecosystems,”
says the report.
   The report was prepared for
the development think-tank
the Pembina Institute and the
Canadian Boreal Initiative, a
group devoted to pre s e rving
the vast forest lands that stretch
across the northern reaches of
nearly every province and terri-
tory in the country. That forest
is considered by many to be
one of the last great untouched
ecosystems left on Earth.
   It’s an attempt to measure
assets that traditional econom-
ics don’t, said Larry Innes, the
group’s executive director.
   “Natural capital is the non-
market services that nature pro-
vides, like carbon storage and
water filtration, re c re a t i o n a l
opportunities,” he said. “Things
that have real societal value, but
don’t compute in our gross
domestic product.”
   Such services provided by the
M a c kenzie River watershed
a re worth an astronomical
$448 billion a year, the report
   The market value of the
area’s resources such as oil, nat-
ural gas and minerals are worth
about $42 billion a year.
   Canada’s entire gross domes-
tic product, measured tradition-
ally, is about $1.2 trillion.
   At 1.7 million sq. km, the
Mackenzie region is one of the
largest watersheds in the world
and comparable to rivers such
as the Amazon.
   To bolster its argument that
natural capital has value, the
re p o rt points to the New
Orleans area, where some of
the $80 billion in damages from
hurricane Katrina may not
have occurred if the bayous and
wetlands surrounding the city
hadn’t been drained.
   The report analyses 17 differ-
ent “services” the ecosystem
provides. They include atmos-
pheric and climatic stabiliza-
tion, erosion contro l , waste
treatment, pollination, soil for-
mation, food production and
biodiversity preservation.
   Those services are degraded
as energy and mining develop-
ment reduces the amount of
                                     Page 24                                                                                     February 9, 2007          Invest in B.C.
                                                                                                                                                            real estate
                  See Page 30

                                                                                                                                                               See Page 17

  Builders cancel contracts at their peril
    Courts rule that poor business
    decisions are not ‘Acts of God’

            anadian home-             Association–Alberta acknowl-
            builders who              edge that they have heard
            arbitrarily cancel        complaints about cancellations.
            contracts with their      Some builders have relied
customers – citing clauses they on the cancellation clause in
believe let them off of the           the purchase agreement or
hook when costs rise to               construction agreement that
unexpectedly high levels –            ANHWP recommends to its
may be flirting with legal peril. builders.
   The clauses these                                   In a 2006 article
builders rely on are         BROCK                 published in
called “force               WATCH                  ANHWP’s news-
majeure,” French                                   letter From the
for “greater force.”                               Ground Up,
Commonly found                                     Calgary lawyer
in construction                                    David Tettensor
contracts, these                                   cautioned builders
allow a party to                                   about taking such
cancel a contract                                  action without
when some                                          consulting with a
                                                                                                                                                     File photo by Ken Kerr, Business Edge
unforeseen event                                   lawyer.
beyond the party’s                                     Force majeure              Homebuilders must understand the legal ramifications of cancelling a contract with a buyer.
control prevents it                                clauses,Tettensor              the pulp and paper company         that the matter be retried, the  ■ How broad should the
from fulfilling its      Brock Ketcham             explained, are                 responsible for honouring          appeal court found that Atcor    definition of the triggering
obligations.             For Business Edge         meant to relieve               its end of a contract that it      would have been obliged to       events be?
   Examples that                                   parties involved in            wanted to cancel.                  carry out its agreement if it    ■ What impact must those
the contract might cite               contractual obligations from                   St. Anne signed a contract,     were commercially reasonable     events have on the party who
include blockades, insurrec-          having to carry out their end               then told its two waste paper      for the supplier to acquire a    invokes the clause?
tion, hurricanes, the sudden          of the bargain in the face of               suppliers that declining mar-      new supply of gas.               ■ What effect should the
coming of a new ice age or            events that are “unexpected,                kets were forcing it to invoke       The Court of Appeal of         invoking of this clause have on
Earth being struck by an              something beyond reasonable                 the force majeure clause. But      Alberta pointed out that a       the contractual obligation?
asteroid.These are seen as acts       human foresight and skill.”                 the high court did not accept      force majeure clause should
of God, and thus beyond the              “Courts have been clear they the company’s arguments.                       address three questions:          See BROCK                Page 25
control of mortal home-               are not to protect against poor                “The project, conceived in
builders.To hold a builder to         business decisions,” he added.              ephemeral hopes and not the
such a contract would subject            “Cancellation, except in                 harsh realities of the market-
him unfairly to certain ruin.         the clearest of cases, carries              place, resulted in a failure for
   However, some builders are         significant risk,” the lawyer               which St. Anne and not
interpreting this to include          wrote. “Courts are reluctant                changes in the market . . . must
abrupt, unforeseen changes in         to allow any party to escape                be held accountable,” the
the business environment, such obligations in a contract, let                     Supreme Court decided.
as an increased cost of supplies      alone the party with the                       In a more recent case, the
or a shortage of tradesmen.           experience and control of                   Court of Appeal of Alberta
Faced with such challenges,           the process and in the better               ordered a new trial in 1996 in
they resort to cancelling             position to understand the                  Atcor Ltd. vs Continental Energy
contracts and attempting to           economic circumstances of the Marketing Ltd. after deciding
renegotiate them.                     industry.”                                  that the real purpose of a force
   When this happens,                    Tettensor’s comments were                majeure clause is to deal with
consumers get cranky.                 guided by a landmark 1975                   the effect of the event, not
   Some sue.                          Supreme Court of Canada                     simply the occurrence.
   Booming Alberta, which has         judgment – Atlantic Stock Paper                Continental, a marketer of
seen more than its share of           Limited and Elliot Krever &                 natural gas, sued after pipeline
home construction, is no              Associates (Maritimes) Ltd. vs St.          disruptions drove supplier
stranger to the cancelled             Anne-Nackawic Pulp and Paper                Atcor to invoke its force
contract.Thirteen clients             Company Limited – that held                 majeure clause. In ordering
of Reid-Built Homes, for
example, sued the Edmonton-
area homebuilder last fall for
                                       Stunning Estate in Foothills / Calgary
cancelling their agreements             Premier home set on 4.0 acres of landscaped and forested land. Two-story
and then raising the price of           walkout features five bedrooms and 4 baths in 5,248 sq ft. Enjoy awesome
                                        mountain views and one of the four fireplaces. Did I mention a theatre,
their homes.                            a games room, and a beautiful indoor swimming pool in the lower level?
   Reid-Built’s lawyer has              $1,749,000. See my website for photos:
said the cancellations were
necessary because the company           Princeton Condo / Eau Claire
couldn’t get building permits           Everything your heart desires at The Princeton Cityscape. One bed, one
issued within 60 days of the            bath, third-floor condo with hardwood floors, double-sided fireplace, custom
agreements being signed.                cabinetry, granite countertops, stainless steel appliances, heated storage,
   The Alberta New Home                 in-suite laundry. See my website for photos:
Warranty Program (ANHWP)                Fernando Aramburu,
                                        Royal LePage Realtor, 403.225-5000
and Canadian Home Builders
February 9, 2007                                                                                              Page 25

BROCK from Page 24

  Consumers less likely to forgive
   builders who get caught short
   “Once it is established that a   His advice to builders: “Don’t        (Brock Ketcham is an
triggering event in a force         make an agreement to sell           Edmonton-based writer who
majeure clause has occurred,        what you can’t build at a           specializes in consumer and public
the next step is to determine       reasonable profit.”                 policy issues. He can be reached at
how it affects the parties to the      Burnaby, B.C., home renova-
contract,” Edmonton lawyer          tor Ralph Belisle, president of
Debra Curcio Lister of Miller       Canadian Home Builders’
Thomson LLP wrote in a              Association–B.C., agrees
2005 Alberta construction           builders in hot markets should
communiqué posted on her            avoid committing themselves
law firm’s website.                 too far into the future.
   “In order for a party’s             “The materials market and
obligations to actually be          the labour market are really
suspended or excused, the           volatile,” he says.
party seeking to rely upon it          Janice Wong of Toronto,
must be unable to perform its       spokeswoman for Tarion
contractual obligations . . . ”     Warranty Corp., says the
   Grant Ainsley, executive         new-home warranty program
officer of the Canadian Home        encourages builders to honour
Builders Association–Alberta,       their contractual commit-
says consumers tend to be less      ments, except in rare situations
forgiving than companies of         where it would make good
the kind of pickle that a           sense for parties to be released
member of the business world        from the contract.
can get itself into.                   “This view is strongly
   Builders get into such fixes     supported by builders in
by trying to compete against        Ontario,”Wong says.
cutthroat prices, Ainsley says.        The governing Ontario
“They can get caught by             New Home Warranties Plan
charging too little,” he adds.      Act is silent on whether
 “It becomes a very difficult       builders are at liberty to cancel
situation.”                         contracts on the basis of unex-
   Sky Wensel, chief operating      pectedly high costs,Wong says.
officer for the Alberta New            However, the act requires
Home Warranty Program,              that all home contracts
notes his program has put           commit the builder to building
together training packages for      the home without “undue
builders to bring them up to        delay” and that the builder not
speed on the business and           unilaterally rescind the agree-
marketing end of running a          ment solely due to a failure to
building business.These             complete the home by the
include Master Home Builder         closing date.
courses that, among other              “Tarion’s experience is
things, give builders a basic       that most vendors deal with
grounding in business law.          difficulties in constructing
   Wensel, who formerly             their homes by extending the
practised law, says most            relevant closing dates rather
builders take care to ensure        than attempting to cancel the
they are on solid ground            agreement of purchase and
before they cancel a contract.      sale,”Wong says.
                                     Page 26                                                                               February 9, 2007
  Tired of hearing
 “no” from banks?

         See Page 31                                                                                                                                       See Page 30

   Telework is a winning business initiative                                                                                                      less greenhouse gas and more
     But Canada lags behind other                                                                                                                 efficient use of resources.
                                                                                                                                                     Bell Canada estimates its
    nations in recognizing its value                                                                                                              teleworkers save 8,152 tonnes
                                                                                                                                                  of CO2 emissions annually in

            anadian govern-          day weekly working from                                                                                      commuting and space heating.
            ments and business-      home.                                                                                                           In an effort to boost the
            es have been drag-          I’m also talking about formal                                                                             number of federal civil servants
            ging their heels on      policies, training programs for                                                                              who telecommute (about
a single business initiative that    workers and their supervisors,                                                                               100,000 of 700,000), the U.S.
could increase productivity,         and technical support.                                                                                       federal government has begun
provide an edge in global               About 1.5 million Canadians                                                                               withholding US$5 million in
competition, allow for better        work from home, at least                                                                                     funding from every federal
emergency plan-                                   occasionally, says                                                                              agency not making telework
ning, save corporate        OPINION Bob Fortier,                                                                                                  available to all eligible
and government                                    president of the                                                                                employees.
dollars and help cut                              Canadian Telework                                                                                  But big business began
greenhouse-gas                                    Association and                                                                                 seeing the benefits long ago.
emissions.                                        InnoVisions Canada                                                                                 “We actually started in
   That’s not to                                  in Manotick, Ont., a                                                                            1986,” says Susan Garms,
mention a slew of                                 half hour from                                                                                  senior consultant, telework
more content, less-                               Ottawa.                                                                                         solutions for Bell Canada.
stressed employees.                                  That’s a far cry                                             Photo courtesy of Bob Fortier      At first, the company found
   What is this                                   from Japan’s target –   Canadian Telework Association president Bob Fortier says 1.5            itself providing equipment to
magic bullet?                                     it wants 20 per cent                                                                            remote workers. It worked so
                                                                          million Canadians telecommute, at least occasionally.
   Telework.                                      of the entire nation-                                                                           well that, by 1992, the com-
   I’m not talking                               al workforce to                                                                                  pany had a telework policy in
here about the
                          Sharon Adams           telecommute by the       smelling the coffee. About 11     of 20 miles (32 km) each day          place and today about half of
occasional day            Business Edge          end of this decade.      per cent of employees tele-       and 2005 fuel prices.                 Bell’s 40,000 Canadian
working at home                                      Governments          commute part of the week and        About 100 million U.S.              employees telecommute.
on overtime, or waiting for a        around the world recognize           two per cent do so full-time.     workers commute daily, most              Part of management’s job,
repairman, caring for a sick         the economic efficiencies of         The U.S. National Technology      alone in their cars.                  she says, is to examine how to
family member or toiling in a        telework on a grand scale –          Readiness Survey says US$3.9        There are additional savings        more efficiently manage
home-based businesses. I’m           fewer roads to build and main-       billion could be saved annually   in reduced costs in buying,           resources.“The No. 2 expense
talking about people with            tain, less commuter pollution,       on fuel alone if every worker     building or leasing office            in any business is real estate,”
salaried positions working for       fewer buildings to construct         who could telecommute did         space to house employees and          she says.
companies and government             and heat.                            so 1.6 days per week – based      energy to heat that space, not
formally spending at least one          The U.S. is awake and             on the average U.S. commute       to mention the green effect –         See @WORK              Page 29

    Penny Dyte, Vice President, Operations,
  is pleased to announce that Sandra St.
  Jules has joined BFL Canada Inc. in the
  Calgary office furthering BFL’s expansion
  into Western Canada.
    Sandra joins BFL as a Vice President
  and Client Executive, bringing with her
  25 years of experience in all areas of
  insurance consulting including marketing,
  risk identification and transfer for Alberta
  specific industry sectors. Sandra’s ability
  to be a strong client advocate; simplifying      Sandra St. Jules
  insurance risk and mastering process
  through her insight of the clients business and needs, makes
  her a valued addition to our client focused culture.
    BFL Canada Inc. is Canada’s largest privately owned,
  independent insurance broker. BFL provides professional
  insurance and risk management services to all industries
  through its seven Canadian offices and to its Global clients
  through a strategic alliance with A.J. Gallagher & Co. in the
  U.S. as well as over 100 countries around the world.
    BFLs success in Canada is based on providing a unique
  entrepreneurial and creative environment for its employees
  inspiring exemplary service to its clients.

                                              BFL Canada Inc.
                                            2300 Scotia Centre
                                             700 – 2 Street SW
                                          Phone: 403-451-4132
                                          Calgary, AB T2P 2W2
February 9, 2007                                                                                                                                            Page 27

                                                                                                                                   Advertising Feature

           BOWEN offers new
         solution to labour woes
                                                                                                                           professionals will require a great
      Immigrant WorksTM                                                                                                    deal of extra management time.
        matches skilled                                                                                                    BOWEN is there to support and
                                                                                                                           bridge the gap as required.
       foreign workers                                                                                                        All Immigrant Works™ candidates
       with professional                                                                                                   are eligible to work in Canada and,
                                                                                                                           in many cases, have lived here for
         opportunities                                                                                                     several years. They are often
                                                                                                                           unemployed or underemployed

     n Alberta, corporate growth                                                                                           simply because they have not
     trajectories are streaking skyward                                                                                    been able to get a foot in the door
     at an unprecedented rate. That’s                                                                                      to gain valuable Canadian work
  good news for all of us. But there is                                                                                    experience. All have undergone
  a negative side to the current wave                                                                                      rigorous preparations and screening
  of prosperity.                                                                                                           and are ready to work. They are a
     Skilled labour is at a premium.                                                                                       previously untapped valuable
  Human resource professionals                                                                                             employee pool. Leading companies
  spend most of their time asking:                                                                                         are recognizing that BOWEN’s
  “Where can my busy company                                                                                               Immigrant Works™ program is an
  find the technicians, engineers,                                                                                         ideal solution for their personnel
  accountants, geologists,                                                                                                 needs and are responding in a big
  geophysicists and IT experts                                                                                             way.
  it so desperately needs?”                                                                                                   “Statistics indicate that new
     BOWEN Workforce Solutions Inc.                                                                                        immigrant professionals tend to
  has the solution. The company has                                                                                        stick with the companies that give
  partnered with Alberta Human                                                                                             them their first break,” Clark says.
  Resources and Employment and                                                                                             “If you give these talented people
  Calgary employers to provide the                                                                                         an opportunity now, you will
  new Immigrant Works™ program.                                                                                            probably not have turnover or
     As one of the premier recruiting                                                                                      retention issues down the road.”
  companies in Western Canada,                                                                                                In addition, such new cross-
  BOWEN has spent the last 32                                                                                              cultural hires bring valuable
  years developing innovative                                                                                              intangibles along with them when
  workforce solutions. Now BOWEN’s                                                                                         they enter a new workplace. Apart
  Calgary-based team is stepping up                                                                                        from their training, knowledge, skills
  to alleviate the skilled labour crunch                                                                                   and experience, they bring a global
  by matching qualified unemployed                                                                                         perspective that can broaden the
  or underemployed foreign-trained            From left, Marilynn Balfour, Director of Career Resources for BOWEN,         horizons of their employers,
  professionals with technical                        with Immigrant WorksTM candidate Munazza Irfan and                   particularly those aiming to
  employment opportunities.                        Janice Clark, manager of the Immigrant WorksTM program.                 penetrate international markets.
     BOWEN has put together a                                                                                                 There’s no disputing the fact that
  standout pool of well-educated              Under terms of the Immigrant          the human resource support             BOWEN offers a made-to-order
  immigrant professionals who have          Works™ program, BOWEN prefers           necessary to help new candidates       pipeline to some amazingly diverse
  mastered university-level reading,        to place candidates as interns, on      and employers eliminate the cultural   and multi-faceted skills. Whether
  writing, listening and speaking           either a four-, eight- or 12-month      gaps. Once candidates are placed,      you need a mechanical engineer or
  skills. Their technical abilities are     basis. It’s the ideal way for new       BOWEN’s award-winning service          a civil engineer, an accountant or a
  documented in accordance with             immigrants to acclimatize to new        package includes individual            financial analyst, BOWEN has a
  recognized international qualification    ways of doing business, or to a         coaching and a co-development          superb candidate to fit the bill.
  assessment procedures. They’re            corporate culture that may not be       plan shared by interns and                These are well-trained, highly
  ready to work and eager to                immediately familiar.                   managers as well as a third-party      educated, EXPERIENCED profes-
  contribute to the long-term                 “Even the most qualified              consultation service.                  sionals, eager to demonstrate their
  success of small-, medium- and            candidates may require a certain          “We’re the objective third party     abilities. Many have improved their
  large-sized organizations.                period of time to get comfortable       and essentially an extension of the    resume by completing master’s-level
     Oil and gas companies are              on a cultural basis. It’s much like a   company’s human resource depart-       programs since their arrival in
  particularly well-suited to the skill     new-grad program, helping recent        ment. Either the manager or the        Canada.
  sets that these highly qualified          graduates to get accustomed to a        candidate can call us in case issues      “Most of the people we’re dealing
  candidates bring to the table, says       specific corporate culture. It’s a      do arise. We’re happy to coach the     with bring an absolute minimum of
  Janice Clark, who manages the             developmental period, a learning        intern, the manager or both, in case   seven years experience to the
  Immigrant Works™ program on               period,” Clark adds.                    of communication gaps,” Clark          workplace,” Clark sums up.
  BOWEN’s behalf. “We work closely            Such internships are ideal for        emphasizes.                               For more information, please
  with these candidates to make the         enabling candidates to acquire            BOWEN is there to ensure that        access the BOWEN website:
  most of their interview skills, as well   the work experience they need           the transition for both the new or
  as to identify the transferable skills    to complete their professional          employee and the employer goes         contact Garvey Chui at
  they possess that are best-suited to      certification in Alberta.               as smoothly as possible. Employers or
  potential employers.”                       Naturally, BOWEN provides all         need not fear that the immigrant       403.538.3344.

                   ■ Website:                         ■ E-mail:                    ■ Phone: 403.538.3344
                                    Page 28                                                                                February 9, 2007           Use Someone
 New Life Capital                                                                                                                                     Else’s Money
 Helps You Profit
     See Page 17                                                                                                                                        See Page 22

  Entrepreneur is looking for social returns
           ill Young spent the                                                                                                                  working with two franchisors,
           first phase of his         Venture-capital firm invests in disadvantaged sector                                                      Active Green + Ross, a chain
           career making money                                                                                                                  of auto-service centres in
           and he did very well      value in the history of Wall         Young says that finding the       associates at Social Capital have   southern Ontario, and the
at it. A former chartered            Street.                            right companies and employers       spent a good deal of their time     moving company Two Men
accountant who also holds an            Young’s investment went         who understand his concept          looking for partners in the         And A Truck.
MBA from Harvard                     through the roof.                  has been difficult.                 non-profit sector.                     Social Capital has agreed to
University,Young started                “I’m one of those lucky           Consequently, Social Capital         People there understand          finance a Two Men franchisee
Hamilton Computers and               people whose ship came in in       has grown slowly and has only       the societal benefits.They are      who left home before he was
turned it into a national            the private sector,” says the      invested about $1.3 million in      generally enthusiastic, but too     16 and wound up in a shelter
company that bought                  entrepreneur, who is now 52.       eight companies.                    often lack practical business       for the homeless.
computer hardware                                “I have more             Nevertheless, Social Capital      experience.                            This individual has been
from manufacturers            OPINION money than I’m                    has found some worthy                  Now Young has shifted his        employed for more than 20
and resold it to                                 ever going to need.”   recipients.                         focus in order to expand the        years and has the ability to run
commercial and                                     Five years ago, he     These include a downtown          portfolio.                          his own business, but he also
institutional clients.                           decided it was time    Toronto bicycle courier                He and his associates are        understands what it means to
   Sales had reached                             to change direction    company that hires homeless         looking at lending to prospec-      be down and out. Favourable
$200 million                                     and use his money      youths out of shelters, and a       tive franchisees who frequently     financing will help him get
annually by the time                             to make a difference   Winnipeg home-renovation            have difficult obtaining bank       started and he will be in a
he sold out to GE                                in the world.          company that is employing           financing and must turn to          position to hire people stuck at
Capital.                                           He founded           urban Aboriginals.                  family or friends for funds to      the margins.
   That made him                                 Social Capital           Young has also put money          keep them going till their             Young has found selling a
wealthy, but Young                               Partners, a venture-   into a Vancouver property-          businesses begin generating         concept a bigger challenge
was fortunate                                    capital firm that      maintenance firm that recruits      cashflow.                           than pitching a product. But
enough to enjoy a                                invests in startup     women who have been victims            “About a year and a half ago     he has no doubt that he’s made
second windfall.          D’Arcy Jenish          companies and          of violence and men from the        we decided that if we’re going      the right choice.
   In the mid-1990s, Business Edge               looks for a social     socially blighted downtown          to make this a mainstream idea         “I was hugely lucky,” he
his cousin Bob                                   rather than a          east side.                          we need to figure a way to          says. “I can’t conceive of
Young co-founded Red                 financial return.                    The women generally do            engage the private sector,” he      needing more money. I wasn’t
Hat Inc., which has since               In exchange for low-cost        administrative jobs while the       says.“We needed a cookie-           interested in running another
become the world’s largest           financing, business owners         men handle security.                cutter model. Franchising was       company that was going to be
distributor of the Linux             must agree to hire people who        “Our model helps the              a natural.We can work with          a stock-market darling.This is
operating system.                    are on the sidelines and facing    job-ready segment of                proven systems.                     what I’ll do for the rest of my
   Young bought shares               barriers to employment.            disadvantaged populations,” he         “We don’t have to figure out     career.”
through a private offering           Recruiting must be done            says.“These are people who          the business side.Ten years            And if it’s third time lucky
when Red Hat was a startup.          through recognized social          are ready to help themselves.       from now we could have              for Bill Young, the world will
The company went public in           agencies that provide training     They just need to be given a        thousands of people working         be a better place.
August 1999, and enjoyed the         in preparation for entering the    chance.”                            for hundreds of franchises.”           (D’Arcy Jenish can be reached
eighth highest first-day gain in     workforce.                           Up till now,Young and his            To date, he has been             at

 Chinese juggernaut starting to slow down
                                              during the crisis-ridden period of          from around 20 per cent last                            one and two per cent
Investment spending                           1997-2001, and a gradual upswing from       June to about 15 per cent           EXPORT              through 2005 and much of
                                              2002-2006.                                  most recently.
    moderating as                                The latest data from China showed          The trade data also looks
                                                                                                                             ANALYSIS 2006, but late last year it
                                                                                                                                                  started moving higher, and
                                              growth of 10.4 per cent year-on-year        promising. Although China’s                             most recently is at 2.8 per
 inflation on the rise                        in Q4/2006.
                                                 This is a bit of a deceleration from
                                                                                          exports continue to grow at
                                                                                          rates of 25 to 30 per cent
                                                                                                                                                     The authorities are

             o forecast of the world          growth of over 11 per cent six months       annually, the trend in                                  anxious to avoid an
             economy is complete with-        earlier, but given the reliability of the   U.S. imports from China has                             inflation outbreak, and
             out an analysis of China.        statistics, that’s not saying much.         seen a downshift in the past                            have raised interest rates,
                Many would say that,             Looking beneath the headlines,           eight to 10 months.                                     restricted credit and
where China goes, so goes the world –         though, reveals some early signs of a         More importantly, China’s                             allowed the yuan to
a description once reserved for the U.S.      slowdown in China.                          imports have slowed, from                               appreciate gradually.
economy alone.                                   One of the greatest fears is that        25-per-cent growth to the                               Money and loans growth
   These days, according to the latest        China will significantly over-invest,       mid-teens lately.                                       have slowed in response.
World Bank methodology, China                 and that there will be a crisis and           And, although the data is      Stephen Poloz             What this all suggests is
accounts for just over 15 per cent of         recession as the economy adjusts to that    unreliable, retail sales growth Export Development that more official actions will
the world economy, compared to the            investment overhang.                        has slowed from around 25        Canada                 be forthcoming, if necessary,
U.S. at 20 per cent and Canada at                Accordingly, a moderation in             per cent to under 15 per                                but a slowdown is
under two per cent.                           investment spending would be good           cent.                                      increasingly likely, one way or another.
   And with growth in China averaging         news, and there is some.                      This analysis suggests that not only is     The bottom line?
over 10 per cent of late, that means that        Back in mid-2006, investment             the dangerous growth in investment            It is too early to declare that China
China is contributing close to one-           spending was rising at a pace in            spending beginning to gear back, but       is slowing, but the early signs are there.
third of total global economic growth.        excess of 30 per cent annually,             the hoped-for expansion of domestic           Once a consensus emerges on this,
   Not surprisingly, then, a chart of         and the most recent data are showing        consumption spending may not be            global commodity prices are likely to
China’s historical GDP growth looks           25 per cent.                                happening.                                 see another down leg.
like a chart of the world economy.               To go with that, output of cement          And just in time, too – China’s             (Stephen Poloz is a senior vice-president
   There was a boom of 11- to 13-             has slowed from over 25-per-cent            inflation rate has begun to move           and chief economist for Export
per-cent growth in 1994-95, a                 growth to around 15 per cent.               noticeably higher.                         Development Canada. He can
slowdown to seven to eight per cent              Industrial production has also slowed      CPI inflation was drifting between       be reached at
February 9, 2007                                                                                                                                                            Page 29

@WORK from Page 26

Working from home seen as strong incentive
   Estimates on real estate cost     With looming labour                   Telework has another                practise telework once a year,       Canadian employers an
savings range from 25 to 90        shortages, “we’re looking to be       business benefit that can prove       so you can feel confident some       estimated $16 billion yearly.
per cent, or about US$8,000        the employer of choice,” says         vital in the Canadian climate.        of the work will continue,           Avoiding one cold a year
per worker, according to the       Garms, and high on employ-            “It’s good to have workers            even if the office isn’t open.”      could save a company plenty.
Institute of Distributed Work      ees’ wish lists is work-life          who can work out of the                   But “never mind pandem-             I’d add savings from stress
in the U.S.                        balance – less time driving           office in case they can’t get         ic,” says Fortier.“Think of          reduction, too.The Canadian
   British Telecom has a           through traffic, more time            to the office because of some         the savings in the cold and          Mental Health Association
workforce of more than             driving golf balls, driving kids      natural, man-made or technical        flu season.” British Telecom         estimates about 20 per cent
80,000 employees, and              to practice, having kids drive        disaster,” says Garms.                noticed teleworkers take only        of a company’s payroll goes
estimates its 9,000 teleworkers    you crazy.                              Businesses in eastern               about a quarter as much sick         to dealing with stress –
save the company £35 million         Offering telework is like           Ontario and Quebec have had           time as office staff.                absenteeism, turnover, short-
(that’s better than Cdn$80 mil-    giving an employee an extra           such experiences, says Fortier.          Full-time Canadian                term leaves, counselling,
lion) a year, according to com-    couple of weeks of unpaid             “Snowstorms, strikes, wind-           employees took an average of         medication.
pany research done in 2002.        time off, because the average         storms – every time a building        9.2 sick days in 2005, says             Health Canada pegs the cost
   As well, the company has        Canadian spends 12 full days          shuts down, the company               Statistics Canada – often from       of work-life conflict to
saved recruitment costs, since     a year getting to and from            loses,” he says.“With telework,       illnesses contracted at work.        Canadian business at up to $10
attrition is less than four        work, according to Statistics         you’re not putting all your           Absenteeism accounts for             billion a year.
per cent among flex and            Canada’s 2005 General Social          eggs in one basket. I would           nearly 100 million lost work            Telework can reduce or
teleworkers.                       Survey.                               encourage companies to                days annually – and costs            eliminate a lot of that stress –
                                                                                                                                                    and those costs.
                                                                                                                                                       Telework also allows
 Mackenzie Valley pipeline hearings get green light                                                                                                 employers to tap into a new
                                                                                                                                                    pool of workers – disabled
                                                                                                                                                    workers, retired workers who
The Canadian Press                 hearings that dealt with issues       finish their hearings but they’re     the route was set up in 2002.        would continue working so
                                   affecting the Dene Tha’ First         still stopped from making their       But the Dene Tha’, who nu m-         long as they don’t have to
   A judge has decided that        Nation.                               final report,” said Dene Tha’         ber about 2,500 members on           commute, workers in remote
all scheduled social and              That means the sessions can        lawyer Robert Freedman.               seven reserves in Alberta, British   areas, says Fortier. Even
environmental hearings into a      go ahead as previously planned,          Phelan’s original ruling out       Columbia and the Northwest           workers in other countries.
proposed $7-billion natural gas    which will help the hearings          of Federal Court in Vancouver         Territories, were excluded.             So why don’t more
pipeline down the Mackenzie        finish earlier. But the panel still   said Ottawa failed to consult           That’s because the final leg of    businesses embrace telework?
Valley can go ahead.               won’t be able to issue its final      with the Dene Tha’.                   the pipeline and the infrastruc-        We’ll go into that in Part II
   Federal     Court     Justice   report to the National Energy            A re g u l a t o ry process that   ture connecting it to existing       of Telework in the next
Michael Phelan has lifted a stay   B o a rd until the Dene Tha           brought federal energy and            networks would be in northern        edition of Business Edge.
he issued last November on all     concerns are dealt with.              environment officials together        Alberta, falling under that             (Sharon Adams can be reached
sessions of joint review panel        “We’ve agreed to let them          with Aboriginal groups along          province’s jurisdiction.             at
Page 30                                                                                                                     February 9, 2007

   Collaboration driving new ideas on web
                icrosoft’s new      source software. But it’s pretty        who will get the pet.”             of others.Wishes can be         views but few positive votes.
                Windows Vista       clear there won’t be a Bill                “My current favorite idea is    naughty or nice.“Funding a         Cambrian House has also
                may be pretty,      Gates or (Google co-founder)            called JumbleLunch,” says          Trip to Build an Orphanage in   spawned the website
                and you’ll          Sergey Brin gazillionaire               Sikorsky.“It allows people who     Mozambique” was so popular, which allows you
probably buy it with your next emerging from the freebie                    travel a lot to meet up with       that the wishee received        to challenge fellow employees
computer. But some of the           software world. Or is it?               people in other cities for         $10,000.                        to “desktop combat.”
smartest people in the world           Enter Michael (“MJ”)                 business networking.You              Naughty wishes include “A        That will certainly do lots
won’t touch proprietary             Sikorsky and his little Calgary-        might say, I’m going to be in      Porsche – Because I Am          for business productivity.
software.                           based idea-fermenter called             Boston tomorrow and I don’t        Beautiful” ($175,000) and “An lets you send an
   When MIT guru Nicholas           Cambrian House Inc. It’s 50 or          have anyone to have lunch          Evening with a Dozen            electronically wrapped giftcard
Negroponte announced plans          so people now, but Sikorsky             with, so I’d love to have lunch    Hookers and a Video Camera      from iTunes or Amazon by
to create US$100 laptops for        claims Cambrian House is                with another professional.”        to Record It” ($10,000). Like   paying an extra 97 cents in
children around the world, he       capable of “becoming the                   Cynics might say this is just   some self-deluded contestants   “prezzle postage.”
chose to use “open-source”          world’s first billion-person            a high-tech version of drop-       on Canadian Idol, these
software – programs created by company.” He aims to harness                 ping in on the local Rotary        entreaties received lots of     See KEENAN            Page 31
collaborative effort and distrib- the power of open-source                  club, but Sikorsky doesn’t care.
uted for free.                      development, while putting              Cambrian House doesn’t judge
   Open-source is one of the        money into the hands of peo-            the ideas (except for removing
Really Big Ideas in                                 ple with ideas and      “horribly offensive” ones.).
technology. It               FUTURE/ the expertise to                          “We believe in the wisdom
allowed Linus                PRESENT make them happen.                      of the crowd,” he says.“So,
Torvalds, a student                                 He calls it “crowd-     for example, if somebody posts
at the University of                                sourced software”       an idea, someone else might
Helsinki, to make                                   and compares it to      point out that it’s already been
the Linux operating                                 YouTube and             done, that there’s nothing
system a household                                  Wikipedia.              unique here.”
word. He only                                         “If you think            In addition to commenting,
trademarked the                                     about all the mass      community members can offer
name to keep others                                 collaboration that      to write computer code to
from registering it.                                was occurring on        implement an idea, or to
   Unless you’re a                                  the web,” Sikorsky      prepare creative materials for
geek, you probably                                  says,“the natural       them.The idea’s originator can
don’t run Linux on         Tom Keenan               next step was to find   accept these offers and dole
your desktop or lap- Business Edge                  a way to help           out royalty points and glory
top. But you’re                                     people harness the      points. Royalty points may
undoubtedly con-                                    wisdom and the par-     actually translate into cash if
nected to a Linux system            ticipation of crowds.”Through           the idea is a success.
somehow, either on computers his website, people suggest                       “A whole bunch of cheques
in your company’s back office,      ideas, no matter how wacky, and         went out the other day,” says
or on the Internet.                 o t h e rs react to them.               Kathy Hnatiuk, also of
   Research firm IDC said, in          The company boasts a global          Cambrian House.There’s a
August 2006, that “Linux            “community” of about 10,000             venture capital side to this,
servers now represent 12 per        members, who can join for               too. Sikorsky says he’s already
cent of all server revenue.”        free.To date, they’ve submitted         raised $3 million “in an
   There’s one huge problem         almost 4,000 ideas for new              oil and gas town” to invest
with open-source.Where’s the        software products that can be           in the most popular ideas.
money? Sure there’s profit in       distributed over the Internet.             The three biggest success
selling hardware bundled with       Example: Pet Divorce Court,             stories so far are robinhood
software like Linux, and com-       where “feuding couples or     , and
panies such as Red Hat man-         ex-couples would enter         Robinhoodfund
aged to charge for training,        into a binding arbitration              is a website for people to post
support and manuals for open- to decide by popular vote                     wishes and vote on the wishes
February 9, 2007                                                                                                                                                                      Page 31

    RRSP clock ticking –                                                          Strahl halts barley ballots
    but are we listening?
The Canadian Press                      Canadians responding to a sur-
                                        vey said they considered their
                                                                                  until process is simplified
   Far too many working
Canadians take a dartboard-
                                        RRSP to be a financial plan.
                                           “It is an element. It is a            Minister says                          their accountant involved to fill
                                                                                                                        out exact data,” said Strahl.
                                                                                                                                                                The wheat board and its
                                                                                                                                                             supporters have condemned
and-blindfold approach to their         savings vehicle but a financial                                                    “That’s ridiculous, there’s no    the three-question ballot as
re t i rement investments, f i n a n-   plan includes many, many other            forms were                            way I want that kind of detail       meaningless and confusing.
cial advisers say, blindly buying       considerations,” says Tina Di                                                   on a ballot.”                        They argue it gives farmers a
RRSPs in the hopes of hitting           Vito, d i rector of re t i rement       too complicated                            Ballots will now be mailed        false impression that the
large tax and investment returns        solutions for BMO Financial                                                     out on Feb. 7 and returns must       board can survive without its
without developing a plan that          Group.                                  The Canadian Press                      be postmarked no later than          monopoly.
aims for success.                          A plan helps focus retirement                                                March 13 to be eligible.                Strahl insists it can remain
   “The mistake people make             goals based on when the                    Federal Agriculture Minister            The      Conservatives      are   viable, but others believe the
with RRSPs and that type of             money will be needed and the            Chuck Strahl is delaying a              following through on an              board doesn’t have the infra-
investing is they don’t match it        lifestyle expected upon retire-         plebiscite on the future of the         election promise to let farmers      structure that would be needed
up to what they’re trying to            ment, with a detailed invest-           Canadian Wheat Board’s barley           market their own wheat and           to compete with large multina-
achieve,” says Clay Gillespie of        ment strategy determining how           monopoly so the eligibility             barley. Strahl has promised a        tional grain companies.
R og e rs Group Financial in            much money needs to be set              process can be simplified.              wheat plebiscite at a later date.       Manitoba Agriculture Min-
Vancouver.                              aside in registered and non-               Ballots we re supposed to               Critics we re quick to            ister Rosann Wowchuk took
   As the March 1 deadline for          re gi s t e red investments to          have been mailed to eligible            denounce Strahl’s changes as         no issue with a delay intended
contributions for the 2006 tax          achieve those goals.                    farmers in Western Canada,              further eroding the plebiscite’s     to simplify the barley plebiscite.
year approaches, many will fork            She advises inve s t o rs to enrol   with March 6 the deadline               credibility.                            But she said Strahl should not
over their money simply to              in an automatic monthly                 for getting return votes in the            While KPMG’s original             stop with revising the eligibility
generate a large tax refund.            deduction program to avoid the          mail.                                   questions would have meant           form.
   “People are looking at the           last-minute rush and help foster           But Strahl says he has asked         more work for farmers to                “I would encourage him at
RRSP as a tax deduction rather          a discipline to save.                   KPMG, the accounting firm               declare their eligibility, Liberal   the same time, since he’s
than a retirement savings pro-             Age, risk tolerance and              handling the vote, to simplify          agriculture critic Wayne Easter      delaying, to simplify the ques-
gram,” he says.                         investment timeline are some of         the declaration forms farmers           says it would have ensured that      tion,” said Wowchuk.
              ment for a lot of
   “ R e t i re                         the factors that will determine         must fill out with their                only farmers who have a real            “Right now he has three
people is so far off that they          how conservative investments            ballot.                                 stake in the outcome could           questions that are not direct
don’t even think about it and           should be. Given that people are           He said he became con-               participate.                         questions.”
RRSPs are more of an ave nu e           living longer, they could add           cerned when he saw a final                 “This is clearly a way for the       The Western Barley Growers
to reduce the amount that goes          more risk in their portfolios,          version of the ballot, which            minister to manoeuvre the            Association has lobbied the
to government.”                         s ays Michael Aziz, re gional           asked farmers to declare their          process and bias it even more to     government to give a greater
   Overwhelmed by a slew of             vice-president of investment            barley tonnage and acreage for          get the results he wants,” said      s ay to barley farmers who
adve rtising attempting to secure       products        for     Desjardins      each of the last five years.            Easter.                              produce larger crops.
their business, only about half of      Financial Security.                        To be eligible, farmers must            Strahl said no changes will be       But president Jeff Nielsen
                                                                                have grown any kind of grain            made to the question, which          s ays he understands that
KEENAN from Page 30                                                             last year and grown barley in at        gives farmers three choices: To      drawing that kind of line is
                                                                                least one of the last five years.       maintain the board’s monopoly,       complicated.

Sharing ideas on Internet                                                       Strahl says the size of the crop
                                                                                isn’t important.
                                                                                   “Every single pro d u c e r
                                                                                                                        to scrap the board’s role as a
                                                                                                                        barley marketer, or to allow the
                                                                                                                        board to be an active partici-
                                                                                                                                                                He adds the plebiscite
                                                                                                                                                             question is clear enough that
                                                                                                                                                             farmers will know exactly what

  brings risks, rewards                                                         would have had to have gotten           pant in a free market.               they’re voting for.

  Sikorsky says this venture            people to work on the idea
has “done $55,000 in sales on           and to execute it.”
that since it was developed,               Volker sees an interesting
and Christmas was a phenom-             spin from a legal point of
enal month for that brand.”             view. “Once you’ve disclosed
  Of course, the Achilles heel          your idea this way,” he says,
of Cambrian House is that               “you can’t patent it in Canada.
everybody’s ideas are out               But you do have a one-year
there, fully exposed, ripe for          window to file a U.S. patent.
the picking. But Sikorsky               So you could put up your
doubts that idea theft will be a        idea, see what the crowd
huge problem. He believes               thinks about it, then run to
people are basically trust-             the U.S. and file, and you’d
worthy, and the crowd’s input           have solid proof of the date of
will push ideas along quickly.
  If your idea is appropriated,
he says, “you’ve learned that
                                           When asked about this
                                        strategy, Sikorsky laughs and
                                                                                  Let’s face it...                   For entrepreneurs, talking to a bank
                                                                                  about funding can be like talking to a, well, brick wall.
you actually have good ideas,           says,“That’s exactly what I
and should learn to execute             would do if I had a good                  That’s where Venturefunder comes in.
them yourself.”                         idea.” But he probably won’t              What is Venture funding? The projects we finance would never get a look from the bank.
  Michael Volker, founder of            be patenting the Cambrian                 We look for entrepreneurs with a vision and a passion to make it work. For exceptional products
the Vancouver Angel Network             House concept anytime soon.               or technologies, exceptional and growing markets and outstanding management. Many projects are
which also invests in new                  “You can find an example of            not yet into the mainstream commerce to be financed by the banks. This is why we need venture
ideas, likes Sikorsky’s concept,        every single element of what              financing; Bring us excellent projects and we’ll find a way to fund them!
“because it’s an idea about             our business is on the web,” he
ideas.”                                 says,“and a very successful
  “You know,” he muses,“I
get calls all the time from
people from all over the world
                                        one.What you can’t find right
                                        now is someone who’s tied
                                        together all the pieces the way
                                                                                  “   Developing world-class software takes
                                                                                      talented people, capital and a lot of patience.
                                                                                      Venturefunder rolled up their sleeves; first to
                                                                                      understand our business, to develop our story
saying they’ve got a great idea         we have.”                                                                                                        Call Jim Thomson today,
                                                                                      (and all financial documentation), then finally
and all they need is a bit of              (Tom Keenan is a professor at                                                                                                   toll-free at
                                                                                      to source the capital for us. I don’t know where
money. I tell them ideas are a          the University of Calgary and an                                                                                            866.744.4754
dime a dozen, but what you
need, and I think this guy is
moving in that direction, is
                                        expert on technology and its social
                                        implications. He can be reached at
                                                                                      else I could have found the money to do this.
                                                                                      Dragan Marjanovic, President, Mediashaker        ”                         Visit the website at:
Page 32                                                                                                                                                                February 9, 2007

  Interactive gamers pushing right buttons                                                                                                               Radical has scored hits with
  Growing talent                                                                                                                                      video games based on The
                                                                                                                                                      Simpsons,The Incredible Hulk and
   pool drives                                                                                                                                        last year’s Scarface, based on the
                                                                                                                                                      Al Pacino film about a ruthless
    Canadian                                                                                                                                          Cuban mobster that Zmak calls
                                                                                                                                                      a “phenomenal success.”
    expansion                                                                                                                                            It was marketed to computers
                                                                                                                                                      as well as Playstation 2
By Sheldon Gordon                                                                                                                                     and Xbox consoles.
Business Edge                                                                                                                                            Radical intends to use
                                                                                                                                                      Vivendi’s channels for further

             anadian developers                                                                                                                       c ro s s overs from the console
             of interactive games                                                                                                                     space into the online and hand-
             a re emerging as a                                                                                                                       held markets.
             thriving high-tech                                                                                                                          “We believe that there’s con-
sector.                                                                                                                                               ve r g e n c e,” says Zmak. “The
   Whether the platform is a                                                                                                                          online component in the con-
c o n s o l e, c o m p u t e r, mobile                                                                                                                sole space is allowing us to
phone or interactive TV,                                                                                                                              broaden out of a typical box
Canadian firms are playing a                                                                                                                          retail-sale product that’s a sin-
significant role in the increas-                                                                                                                      gle-player experience, to that
ingly popular entertainment                                                                                                                           product being extended in its
medium.                                                                                                                                               value through dow n l o a d a bl e
   North American revenues in                                                                                                                         content and multi-player expe-
this industry surpass US$7                                                                                                                            riences (online).”
billion annually, rivaling movie                                                                                                                         Content available online for
box-office receipts.                                                                                                                                  $3 to $10 can add five to 20
   “Canadians have always been                                                                                                                        hours of game play to a prod-
fascinated with being in the                                                                                                                          uct, and allow the purchaser to
entertainment industry,” says                                                                                                                         compete against other real play-
Rob DePetris, vice-president of                                                                                                                       ers instead of artificial intelli-
Silicon Knights, a priva t e l y                                                                                                                      gence.
owned, independent console-                                                                                                                              BioWare Corp. of Edmonton
games developer in St.                                                                                                 Bayne Stanley, Business Edge   is also thriving following acqui-
Catharines, Ont.                         Radical Entertainment CEO Kelly Zmak has a big winner with the video game Scarface.                          sition. A California-based pri-
   “The difference is that, unlike                                                                                                                    vate equity firm, E l eva t i o n
the film industry, they don’t               Rob Barrett is a typical         since January and the revenue        risks have gone through the         Partners, scooped up BioWare
have to go to Hollywood to               Canadian interactive entrepre-      model will be online April 1.        roof,” says Kelso of Interactive    in 2005 and merged it with
make a video game.”                      neur. He spent 10 years at the      Four years in development, the       Ontario.                            Pandemic Studios to form a
   Dozens of best-selling video-         D i s n ey Interactive studio in    game is being marketed to the           “It’s starting to enter the      well-funded independent game
game titles have been made by            Victoria, B.C., before deciding     U.K., Europe and Canada.             sphere of a special effects-driv-   developer.
the Canadian affiliates of               to set up Blue Castle Games            Players subscribe for a mini-     en feature film.”                      Since then, BioWa re has
California-based Electro n i c           (BCG) in Burnaby, B.C., in          mum of three months, spending           Increasing development costs     e s t a blished a new studio in
Arts in Vancouver and France’s           2005 with two colleagues.           from £6 to £35 per month.            and the desire to “cross over”      Austin, Tex., to develop its first
Ubisoft in Montreal.                        “After that many years in the    (The game is denominated in          from the console market into                                       er
                                                                                                                                                      m a s s ively mu l t i - p l ay online
   Japan’s Koei in Toronto is set        industry, you want to see if you    pounds, but players can pay in       others have sparked a con-          (MMO) game.
to launch its first Canadian-            can do things better,” he says.     pounds, euros or loonies.)           solidation trend: Homegrown            BioWare has a total of 340
made game, Fatal Inertia, this              BCG will release its first          By its third year, the company    independents are being ac-          staff at both its Edmonton and
year for next-generation con-            game this summer, The BIGS.         expects to have 48,000 players,      quired by big foreign players.      Austin studios. Last year, it
soles that include Microsoft’s           The Major League Baseball           who could generate $40 mil-             Radical Entertainment of         formed a division to develop
Xbox 360, Sony’s PlayStation3            game features larger-than-life      lion in revenue. BBGI is already     Vancouver, originally an inde-      games for handheld platforms,
and Nintendo’s Wii.                      player models and ballparks, as     planning further online games,       pendent, has benefited from the     beginning with the Nintendo
   The foreign-owned develop-            well as pitching, batting and       including pay-per-play soccer        bigger development bu d g e t s     DS.
ers set up in Canada when the            fielding animations.                for Asian markets and NHL            and marketing skills provided by       Silicon Knights, for its part, is
low-valued loonie provided a                The BIGS will be available       hockey.                              multinational Vivendi Games,        resisting the consolidation and
competitive edge and their               for the next-gen consoles, but         Co-founders Stephen O’Neill       which acquired it in 2005.          crossover trends.
presence created the demand              those who buy the console           and Tim Lloyd favour the                With 230 employees in its           It continues to make action
for a growing Canadian talent            game will also be able to go        Internet space partly because        70,000-sq.-ft. studio, Radical      games for consoles, but it’s
pool.                                    online and compete against up       their background was in build-       has 10 to 15 per cent more staff    taking on more, and bigger,
   A look at the membership of           to four players.                    ing online applications. But they    now than it did when it was         projects for other publishers.
the          International       Game       BCG is already at work on        also prefer the online business      acquired, says president Kelly         It broke away from exclusivi-
Developers Association, a glob-                       u
                                         another m lti-platform next-        model.                               Zmak.                               ty with Nintendo and is now
al group, shows there is one             gen title, but awaits the final        Says Lloyd: “We’re breaking          He expects the number will       working with Microsoft on the
Canadian for every four U.S.             development fee for The BIGS        away from the traditional games      rise to 270 employees by the        Too Human trilogy and with
members.                                 from its publisher, New York-       model of distribution – finding      end of the year, as the studio      Sega on an unannounced proj-
   These college-educated pro-           based Take-Two Interactive          a distri bu t o r, packaging the     has four projects in develop-       ect.
grammers and artists have                Software, in order to turn a        game and distributing it to the      ment.                                  Silicon has doubled its team
become the backbone of a                 profit.                             store shelves. We cut all those         Radical continues to con-        of game developers to 140 from
flourishing home-grown indus-               “Publishers always try to hold   costs out. And we get to keep        ceive and design games under        70 just three years ago.
try.                                     back some money until the end       our IP (intellectual property). It   its own brand, but V ivendi            It used to produce one con-
   “The players in Canada are            to keep you hungry and              makes more pro f i t a ble sense     provides financial muscle.          sole game at a time – earning
successful all over the world,”          focused,” says Barrett, “and        that way than partnering with           “They are responsible for the    $5-$7 million in advance royal-
says Ian Ke l s o, p resident of         that’s where your profit lies.”     someone.”                            publishing process and for the      ties from publishers – but now
I n t e r a c t ive Ontario, a trade        Meanwhile, another Van-             Independents that succeed,        marketing,” says Zmak.              makes two at a time with a rev-
association of 100 Ontario               c o u ver startup, Big Bucks        however, find that multination-         “Those are skillsets that have   enue stream of $10 million per
interactive digital media com-           Games Interactive (BBGI), is        al developers want to acquire        never existed within Radical,       project, reflecting the souped-
panies. “They fare very well on          bringing on Big Bucks Footy, an     them.                                which has always been a pure        up graphics and other advances
the global scene, but nobody             online soccer game where               For independent console-          developer.                          of the seventh generation of
really knows them as Canadian            enthusiasts manage teams and        game developers, development            “Part of the beauty of the       console games.
companies, like you would a              compete for cash.                   budgets have ballooned to $8-        marriage with Vivendi has been
film company.”                              The beta version has been up     $12 million a title, “and the        the complementary skillsets.”       See SURVIVE                Page 33
February 9, 2007                                                            Page 33

SURVIVE from Page 32

  Creativity helps
independent streak
    Silicon’s DePetris recalls that   them is going to be a hit.”
the company made its first                Big Blue Bubble (BBB) in
video game for only $25,000.          London, Ont., which originally
    He        acknowledges      the   developed games for consoles,
takeover trend in the games           became a leading developer
industry, yet he’s not convinced      of       handheld       interactive
that independents are destined        games, with distribution in 80
to be bought by either a              countries.
bigger developer or by one                Now, it’s also targeting the
of the 10 or so major publish-        PC market.
ers.                                      Last July, BBB released its
    “We’ve stayed independent         f i rst computer game, Pop-A-
for 15 years and that’s a huge        Tronic, and will follow this year
time in the games industry,” he       with Geeks Unleashed, which
says. “I think we can survive.        pits a player “against some of
The reason why we’re so suc-          the smartest, yet geekiest play-
cessful is creativity. We’re very     ers on the planet.”
content driven. We’re making              Founder and CEO Damir
games we ourselves want to            Slogar says moving into the PC
play.”                                space was a natural progression,
    At Splashworks, an inde-          since “it’s pretty close to mobile
pendent in Toronto, the accent        games in terms of development
remains on advertiser-support-        time and the way in which the
ed online games (“adve r -            games are developed.”
games.”)                                  He expects the PC division
    The company has developed         will generate 10 per cent of
more than 300 titles in the           BBB’s revenue in 2007 (versus
past eight years, becoming            30 per cent from mobile, 30 per
Canada’s leading producer in          cent from console and 30 per
this space.                           cent from other projects).
    Splashworks has a client base         The company began devel-
of some 55 consumer-goods             oping games for the cellphone
companies and ad agencies. It         market only in 2004.
also has a library of more than           Last year, it re l e a s e d
100 titles that clients can           GoodFellas, Pat Sajak’s Blackjack
license and brand to suit a par-      Bowling and 2 4, based on
ticular ad campaign.                  Fox TV’s counter-terrorism
    Although Splashworks makes        thriller.
almost all of its money from              24 has been a critical success,
adver-games, it has begun             winning a number of awards,
producing downloadable games          but Slogar says it is too soon to
that target individual gamers         know if it will be a financial
rather than corporate clients.        success. (Jewel Quest, a puzzle
Two will be released this year.       game, has been its biggest hit
    Online game developers such       so far, selling two million
as Splashworks operate in a           copies.)
less-complex value chain than             The company has produced
those producing for console or        several titles for the handheld
handheld          platforms, said     console market, and has two in
Jennifer Crisanti, the company’s      development for release next
co-founder and vice-president         Christmas on the handheld
of new business development.          Nintendo DS. Meanwhile, it is
“It’s a lot easier for us to devel-   developing Hobby Shop for the
op and release,” she adds.            Wii next-gen console.
    Over the Christmas holidays,          H o b by Shop has alre a d y
for example, Splashworks              achieved one distinction – it
speedily designed Rosie vs.           is among the 10 finalists
Trump for one of its new est          in Telefilm Canada’s Gre a t
clients, the cable-TV Game            Canadian Video Game Com-
Show Network.                         petition.
    Gamers were able to go to             In December, 69 independ-
the website and join          ent video-game developers
in the celebrity slugfest as it       submitted applications to vie
heated up early in January.           for up to $2 million in financ-
    The space includes just the       ing and valuable industry men-
developers and a small number         torship.
of online distributors who are            Telefilm, a Crown corpora-
re l a t ively easy to reach, says    tion, initiated the contest as a
Crisanti.                             way to give an extra boost to
    “They’re always looking for       the home-grown games indus-
new content, so once you get          try.
to a certain level of develop-            Says Slogar: “We’re going to
ment, they will continue to           c reate brands that stay in
look to you,” she says.               Canada.”
    “You just have to get enough          (Sheldon Gordon can be reached
games out there, and one of           at
Page 34                                                                                                                                                               February 9, 2007

Depression causing havoc in the workplace
                                                                                                                    “So far as I know, University      want to babysit their younger
Employers offer                                                QUOTE . . .                                       of Toronto is unique among            brothers or sisters. But parents
                                                                                                                 Canadian universities because         still need a break from their
   assistance                                                                                                    they have someone like me set-        busy lives.”

  programs to                           “Once companies                                                          ting up these programs and
                                                                                                                 making sure they are well run,”
                                                                                                                                                          Earlier this month, Kids &
                                                                                                                                                       Co. began a test program in
                                        begin to realize                                                         she said in an interview before       Calgary, aimed at helping
combat problem                          people have a life                                                       the conference.                       corporate employees with
                                                                                                                    The University of Toronto          aging parents.
By David Hatton
Business Edge
                                        outside of work                                                          even closes down for 10 to 12
                                                                                                                 days at the end of each year to
                                                                                                                                                          Enbridge Inc., Royal Bank of
                                                                                                                                                       Canada, Nexen Inc. BP Canada
                                        and embrace that,                                                        “give all of its employees a          and Deloitte Inc. have already

             ow to best help                                                                                     break,” says Parnass.                 signed on to participate in the
             employees juggle           then the entire                                                             Everyone from maintenance          six-month pilot project based
             work and family
             along with other
                                        dynamic begins to                                                        workers to office staff locks
                                                                                                                 their doors and leaves the
                                                                                                                                                       out of a south Calgary retire-
                                                                                                                                                       ment home.
busy parts of their lives is            change and it                           – Nora Spinks, director
                                                                                                                 campus behind.                           Sopik declined to say where
rapidly shaping up to be one of                                                                                     She admits the closure sur-        or when the program would be
the biggest issues facing               becomes a                              of Work-Life Harmony
                                                                               Enterprises Inc., an
                                                                                                                 rounds the Christian holiday of       expanded in Canada if the pilot
employers this year, according                                                                                   Christmas and the university          proves successful. “I tell our
to experts.
                                        win-win                                international research
                                                                                                                 has a multicultural staff.            clients that if there is a demand,
                                                                               and consulting firm based
   An estimated half a million
Canadian workers experience
                                        situation.       ”                     in Toronto                           A Toronto judge came under
                                                                                                                 harsh criticism late last year for
                                                                                                                                                       we will be there for them,” she
at least some form of depres-                                                                                    ordering an evergreen Christ-            The Canadian Press reports
sion, often affecting their ability                                                                              mas tree moved to the back            that, a c c o rding to Statistics
to think, concentrate and func-                                QUOTE . . .                                       hallway outside her courtroom,        Canada, 70 per cent of care-
tion properly in their jobs, a                                                                                   saying it was discriminatory to       givers were also trying to hold
Statistics     Canada      survey                                                                                other religions.                      down a job at the same time,
released in January shows
   “Nearly eight out of 10              “I think too                                                                “But, so far, nobody has
                                                                                                                 objected. We live in a Western
                                                                                                                                                       with six in 10 people providing
                                                                                                                                                       “high-intensity” elder care say-
workers who had experienced
depression in the year before
                                        many women feel                                                          c u l t u re that creates breaks
                                                                                                                 around these statutory holidays
                                                                                                                                                       ing occasional relief would be
                                                                                                                                                       important to them.
they were interviewed reported          guilty they can’t                                                        like Christmas Day and Boxing            In some of the groups
that the symptoms had inter-                                                                                     D ay. Everyone comes back             surveyed, up to 21 per cent
fered with their ability to work,       be the best at                                                           much more refreshed and pro-          reported that the demands of
at least to some extent,”                                                                                        ductive.”                             caring for aging parents might
Statistics Canada re s e a rc h e r
                                        everything. It’s                                                            Parnass says U of T has also       be enough to force them to
Heather        Gilmour        and       all about taking                                                         had a family care office for          re t i re earlier than they had
University of Calgary professor                                                                                  almost a decade that looks after      planned.
Scott Patterson wrote in the            time to relax                                                            employees, students and even             Sopik, who was in Calgary
report.                                                                                                          their families’ needs.                for the first few days of the pilot
   The study showed depressed           and keeping                             – Victoria Sopik,                   One of those services for          project, says she received all
workers reported an average of
32 days of the past year where
                                        things in                              president of Toronto-
                                                                               based Kids & Co.
                                                                                                                 employees is emergency back-
                                                                                                                 up child care, offered through
                                                                                                                                                       kinds of positive feedback.
                                                                                                                                                          “One woman said the last
their symptoms left them either
unable to carry out normal
                                        perspective.          ”                                                  Toronto-based Kids & Co.
                                                                                                                    Company president Victoria
                                                                                                                                                       five years she’s wanted to take
                                                                                                                                                       her kids to Disney World, but
activities or totally unable to                                                                                  Sopik, a mother of eight her-         was worried about her elderly
work.                                                                                                            self, says companies have con-        mom at the same time and
   Data obtained during the           policy and process, though. It’s      to share the responsibilities        tracts that subsidize regular or      didn’t want to leave her behind
report showed employers are           one thing when you have               some other way,” says Spinks.        emergency child care for their        while the family went on
increasingly offering employee-       someone come to their manag-             Managing work and lifestyle       employees.                            vacation.
assistance programs and other         er and say they want the after-       was already on the agenda by            In most cases, the child-care         “Now she can take her kids
supports as stress and depression     noon off to stay home with            the time about 4,000 members         c e n t res are close to where        to Disney World and not have
is quickly becoming the leading       their sick toddler. Most man-         of the Human Resources               employees work, such as               the stress of worrying about her
cause of disability claims in         agers will be understanding and       Professionals Association of         London House in Calgary or            mother,” says Sopik. “That
Canada.                               say no problem,” says Spinks.         Ontario (HRPAO) arrived in           the Ford auto plant in Oakville,      sends a huge message for com-
   The issue has even caught the         “What happens if you have          Toronto late last month.             Ont.                                  panies who provide the service
attention of Canada’s labour          someone else who tells their             “The benefits to an employer         Her client list includes some      for their employees.”
minister in Ottawa, who was           manager it’s such a beautiful         are huge,” says Rosie Parnass,       of the country’s top law firms,          Sopik adds that when it
scheduled to travel to Va n-          spring day and they want to go        director of staff and organiza-      banks and telecommunications          comes to home life, she tries to
couver and Toronto for round-         golfing? That’s what’s important      tional development at the            firms.                                c reate balance by delegating
table discussions.                    to that particular employee.You       University of Toronto (U of             During the current tax sea-        and not requiring perfection in
   The minister has asked for         need to create a culture of trust,    T). “It’s not just lost productiv-   son, she says the company             everything.
advice on making it mandatory         honesty and most of all, flexi-       ity and employee turnover at         can even arrange for the centres         As a golfer, she says she might
in the Canada Labour Code for         bility.”                              stake, either. A happier work-       to stay open extra hours for          go out for a warm summer
employers to create some sort            Spinks adds that most work-        place has benefits for everyone      staff of one national accounting      afternoon on the course.
of work-life program, says Nora       life programs don’t have to be        all around.”                         firm.                                    But if she doesn’t end up
Spinks, director of Work-Life         expensive for the employer.              Parnass says while one of the        Kids and Co. made headlines        with a perfect score, that’s
Harmony Enterprises Inc., a              An employee might have             biggest indicators of work-life      last year when it launched the        not the “end of the world” to
Toronto-based international           problems commuting to work            pro blems in an organization         country’s first 24-hour day-care      her.
research and consulting firm.         during rush hour, for example.        can be absenteeism, another          centre in downtown Toronto.              “I think too many women
   “Once companies begin to           Having them work from 7 a.m.          problem now facing employers         Surprisingly enough, however,         feel guilty they can’t be the best
realize people have a life out-       to 3 p.m. or similar flexible         is “presenteeism” – employees        it wasn’t just shift workers that     at everything. It’s all about tak-
side of work and embrace that,        hours might make a big differ-        who show up for work, but            took advantage of the child-          ing time to relax and keeping
then the entire dynamic begins        ence for them.                        aren’t really engaged in what        care offer.                           things in perspective,” she
to change and it becomes a               “Sometimes, all it requires is a   they are doing.                         “There are all sorts of possi-     explains.
win-win        situation,”     she    little bit of flexibility. Even in       Parnass was scheduled to          bilities, like date night for Mom         Web Watch:
explains.                             retail where you are bound by         present a workshop on the            and Dad, or even a date lunch. 
   “A lot of companies will run       set hours for opening and clos-       opening day of the HRPAO             Moms can go grocery shop-      
into difficulty when they leave       ing, the same person doesn’t                     nce about the link
                                                                            c o n f e re                         ping, run errands, do all kinds
it to the discretion of managers      have to open the business every       between work-life strategies,        of        things,” s ays     Sopik.      (David Hatton can be reached at
rather than having a formal           single day.You can vary it or try     staff recruitment and retention.     “Teenagers nowa d ays don’t 
February 9, 2007                                                                                                                                                   Page 35

 Energy firm’s CFO to tackle other interests
Business Edge                                                          VP and CFO Randall                 (TSX:ONC, Nasdaq:ONCY)            she was a principal in the law
                                        MOVING ON                      Henderson is no longer             has appointed Mary Ann            firm of Fish & Richardson.
      heyenne Energy Inc.                                              with the company.                  Dillahunty as VP of intellec-        Oncolytics is a Calgary-
C     (TSXV:CHY) says
Adeline Roth has resigned as
                                       Cave was most recently a
                                    consulting adviser for a group
                                                                         CE Franklin provides
                                                                       products and services to the
                                                                                                          tual property. Dillahunty has
                                                                                                          helped develop the company’s
                                                                                                                                            based biotech company
                                                                                                                                            focused on the development of
vice-president of finance and       of U.S.-based oil and gas          Canadian oil and gas industry.     intellectual property portfolio   oncolytic viruses as potential
chief financial officer to pursue   companies. Christensen was         Corporate office is in Calgary.    since 1999 in her role as         cancer treatments.
other interests.                    most recently employed as the                 ■ ■ ■                   external patent counsel.
  Cheyenne develops and             VP of engineering for Piper          Oncolytics Biotech Inc.            Prior to joining Oncolytics,    See MOVING ON Page 37
produces crude oil and natural      Energy Inc.
gas, primarily in Western              Orton was previously
Canada. Its head office is in
            ■ ■ ■
                                    employed at Piper as the VP of
                                    land. Mitchell was most
                                    recently employed as the VP of
                                                                                                         invest in paradise
                                                                          PLAYA DEL CARMEN
   Gienow Windows &                 exploration at Atlas Energy
Doors Income Fund                   Ltd.
(TSX:GIF.UN) has appointed             Davison was most recently
Mike Lefroy as president and        employed as the VP of engi-
CEO of Gienow Manage-               neering at Atlas. Jamieson was             In the Mayan Riviera with an Experienced Canadian developer
ment Inc., the administrator        most recently the VP controller
of the fund, effective May 1.       at Atlas.
Most recently Lefroy was                       ■ ■ ■
employed by Myers Industries           Hill & Knowlton Canada
Inc. as a managing director.        is growing its health-care
   He replaces David Munro,         practice in Edmonton with the
who will continue as chairman       hiring of Alyssa Haunholter.
of the board.The management         She was previously executive
change comes as the fund says       assistant to the former Alberta
it is evaluating strategic and      minister of health and well-
financial alternatives.             ness.
   The Calgary-based fund              Hill & Knowlton Canada
is one of the largest               is a public affairs and public
Canadian window and door            relations firm with offices in                       DOUBLE-DIGIT APPRECIATION AND
manufacturers.                      eight cities across the country.
            ■ ■ ■                              ■ ■ ■                                      EXCEPTIONAL RENTAL INCOME
  David Bell,VP of                    Acrodex has appointed
operations for Castle               David Walsh to the role of            With direct flights from Canada's major airports, Playa del Carmen is ideally located in the
Rock Petroleum Ltd.                 vice-president of marketing
                                                                          middle of the Mayan Riviera.Think golf, snorkeling, scuba diving, deep sea fishing & more.
(TSXV:RCK.A, RCK.B) has             and corporate development. IT
resigned after two years with       industry veteran Walsh comes          Just minutes from the famous palm-lined beaches and crystal clear waters of the Caribbean.
the company.                        to Acrodex from his own
  Based in Calgary, Castle          consulting company, Decipher
Rock is focused on oil and          Consulting Ltd.
natural gas reserves in Western       Acrodex is an enterprise-                                   Resident Suites at The Royal Oasis
Canada.                             wide technology solutions
            ■ ■ ■                   provider with its head office in
                                                                                                  We are in the finishing stages and just a few ownership and
   Hugh Pattillo has resigned       Edmonton and branch offices                                   co-ownership opportunities remain.
as an officer and director of       in Calgary, Fort McMurray,                                                                                  SOLD OUT!
C1 Energy Ltd. (TSX:CTT).           Winnipeg and Toronto.
   Don Wood has been                           ■ ■ ■
appointed as the Calgary              TC PipeLines, GP, Inc.,
company’s president, CEO and        general partner of TC
a director.                         PipeLines, LP (the partner-                                   Arena Blanca
   He joined C1 in June of          ship), has made some changes
last year and previously served     to the partnership’s executive                               52 luxury condos, each featuring nearly 1300 sq. ft., 2 master
as C1’s executive VP and            suite.                                                       bedrooms, c/w ensuites, 5-star finishes, underground parking, rooftop
COO.                                  Greg Lohnes will step                                      terrace with 2 pools, Jacuzzis, fitness center and private entertainment
   The change of command            down as chief financial officer
                                                                                                 areas, on-site professional management, rental management –
comes as C1 explores strategic      but becomes a director.
alternatives for its future.          Mark Zimmerman has                                         only minutes from famous 5 Avenue and Playa’s best beaches.
   C1 is an exploration-focused     been promoted to president.          Limited opportunities available from $79,000 (quarter ownership) to $269,000 (full ownership).
junior E&P company with             Zimmerman was previously             PRIORITY RESERVATIONS NOW BEING ACCEPTED
core production base in the         VP of business development
Peace River Arch.                   for the partnership.
            ■ ■ ■                     Amy Leong, controller for
  2937077 Canada Inc. of            the partnership, continues in                                 Pueblo Punta Young
Calgary has completed a             this role and is designated
management reorganization           principal financial officer.                         Rare Ocean-front opportunity featuring private beach clubs, 2 master
to orient the corporation as          Sean Brett has been                                bedrooms, c/w ensuites, 5-star finishes, private rooftop terraces with
an oil and gas development          appointed VP and treasurer for                       Jacuzzis, wet bars, grills, four 10,000 sq. ft. pools, on-site professional
company.                            the partnership.
                                                                                         management. 171 units in 4 phases, Phase I and II already 40% sold!!!
  The management has been             TC PipeLines, LP has
reconstituted to include Greg       interests in more than 3,600                       From $129,000 (quarter ownership) to $525,000 (full ownership).
Cave as president and chief         miles of U.S. interstate natural     PRIORITY RESERVATIONS NOW BEING ACCEPTED
operating officer; Dave             gas pipelines. It is managed by
Christensen as vice-president       TC PipeLines GP, Inc., a
of corporate development;           wholly owned subsidiary of                                       CONTACT: 403.630.2723
Deric Orton as VP of land;          TransCanada Corp.                                       
Paul Mitchell as VP of explo-       (TSX:TRP) of Calgary.
ration; Ron Davison as VP of                   ■ ■ ■                                                    OR: 403.816.0700
engineering; and Dennis               CE Franklin Ltd.                                       
Jamieson as VP of finance.          (TSX:CFT, AMEX:CFK) says
Page 36                                                                                                                                                          February 9, 2007

 Visit to Tibet inspires store owner’s vision
                                                                                                                                                  an offering to Buddha but also
  Profits from                                                                                                                                    used for health purposes, is
                                                                                                                                                  made from sandalwood, agura
Vancouver shop                                                                                                                                    and other woods that are
                                                                                                                                                  unique to Tibet and nearby
to aid life work                                                                                                                                  regions.
                                                                                                                                                     Although Tibet is considered
 of Buddhists                                                                                                                                     somewhat autonomous, China’s
                                                                                                                                                  control has resulted in protests
                                                                                                                                                  throughout the Western world.
By Monte Stewart                                                                                                                                  In 2005, p ro t e s t e rs chanted
Business Edge                                                                                                                                     “Free Tibet now!” at various
                                                                                                                                                  ve nues       during       Chinese

    ane Ho stands on a ladder                                                                                                                     President Hu Jintao’s brief visit
    and carefully peels away the                                                                                                                  to Vancouver.
    red cover on the name of                                                                                                                         “We try not to talk about the
    her new store.                                                                                                                                political (situation),” says Ho,
   Down below, a short bald                                                                                                                       when asked if she is concerned
man flings rice at her.                                                                                                                           the store will anger the Chinese
   The man, dressed in maroon                                                                                                                     g overnment. “The Chinese
robes, is known in English as                                                                                                                     government doesn’t really mat-
Martin Cheng. He is a Tibetan                                                                                                                     ter, because we’re sending the
Buddhist monk and is said to                                                                                                                      money to Tibet. The Chinese
rank slightly lower than the                                                                                                                      government can’t stop us from
Dalai Lama.                                                                                                                                       doing this.”
   Cheng has chosen this quiet                                                                                                                       The inspiration to open the
Saturday morning to come to                                                                                                                       store came last summer when
the Va n c o u ver suburb of                                                                             Photos by Bayne Stanley, Business Edge   she visited Tibet. She expects
Richmond from his home in                                                                                                                         most of her customers to be
Hong Kong and bless Ho’s Chi                                            Tibetan Buddhist monk Martin Cheng chants as he blesses the               Buddhists, but says the statues
Cheong Buddha store.                                                    Chi Cheong Buddha store in Richmond, B.C., above, which will              also will attract Canadians who
   Cheng selected the day – Jan.                                        feature statues from the Himalayan territory such as the one              travel to Cheng’s store in Hong
20 – for the official opening                                                                                                                     Kong.
                                                                        held by owner Jane Ho, left.
ceremony because he deemed                                                                                                                           Ho expects to generate
it the date that will bring the                                         Tibet. About 10 years ago, he        convert to Tibetan Buddhism.         $50,000 to $60,000 in reve nu e s
small shop the most luck and                                            planned to move to Tibet and         She moved back to Vancouver          this fiscal year. Reve nues will be
ensure its success.                                                     work in a temple full time, bu t     and now, after taking a self-        low because the store will only
   “This is not only a business,”                                       he says the master of his            employment course at Douglas         operate for six months before its
says Ho. “This is a purpose.”                                           “house” instructed him to serve      College, she’s putting $100,000      June 30 ye a rend date, she adds.
   Ho, a Tibetan Buddhist, is                                           from the business world instead.     of the sale proceeds into her           In addition to social pro-
donating most of her profits to                                            For the past 10 years, he has     new venture.                         grams, the money will help
temples across Tibet.                                                   operated a similar store, which        The store’s name is an abbre-      cover the monks’ living expens-
   Chi Cheong Buddha sells                                              also has the name Chi Cheong         viation of Ho’s company Chi          es so that they can focus on
handmade Buddha statues                                                 Buddha, in Hong Kong. The            Cheong Buddha Enterprises            their practices without having
(some of which take a year to                                           store also donates the bulk of its   Inc.                                 to worry about how to pay for
make), incense, figurines and                                           profits to Tibetan Buddhists.          The Buddha statues sell for        food, clothing and shelter.
tapestries that were produced                                              Ho, 44, is a good friend of       an average price of $1,500, but         Their temples often double
mostly in Tibet.                     ples. Other shops sell Buddha      Cheng’s sister and met him at a      some fetch as much as $3,000.        as doctors’ offices and other
   The disputed poverty-strick-      figures, but they are not the      dinner party in 1998, when she         “Those statues are kept in         community-service outlets.
en Himalayan territory has           ones produced in temples.          was “really desperate and very       (Tibetan Buddhist) temples for          “If we are helping the
been part of China since                “We are trying to draw the      negative.”                           years,” says Ho. “They’re not        temples,” adds Ho, “we are
Beijing dissolved the Tibetan        public’s attention to the situa-      Born in Hong Kong, she had        made in the factory. Some of         helping the people.”
government in 1959 and the           tion in Tibet, the monks and       emigrated to Va n c o u ver in       the pieces are unique.”                 (Monte Stewart can be reached at
Dalai Lama fled to India.            the people who are liv i n g       1980, gone back to Hong Kong           The incense, which is used as
   The modest 320-sq.-ft. shop’s     there,” says Cheng.“We are also    after Expo ’86 and moved back
walls are bright yellow. One         trying to bring Tibetan incense    to Canada, this time settling in
long yellow shelf on the right-
hand side of the room houses a
                                     and statues to North America as
                                     part of the message that people
                                                                        Calgary, in 1997.
                                                                           But she was unhappy in her
                                                                                                                   PROTECT YOUR PROFITS
plethora of purple, pink, yellow,
green and blue boxes, and cans
                                     in Tibet need help, and we want
                                     to give information to the
                                                                        marriage, which would end in
                                                                        divorce, and her career in the              AND YOUR COMPANY
of incense. Small copper             people that are living here.”      banking industry, where she felt
Buddhas, featuring intricate            Cheng, 46, was born in Hong     she was being passed up for
handiwork, and jade figurines        Kong and called to the Tibetan     promotions because of her gen-
illustrating elephants and other     Buddhist ministry at the age of    der.
animals are stored in glass cases,   four. He spent much of his            The meeting with Cheng,
and dark red and black tapes-        youth travelling and working       whom she describes as her
tries hang near the ceiling.         b e t ween his hometown and        “master,” c o nvinced Ho to            SMC makes your company safe - everywhere
   Large bouquets of flowers
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   Through an interpreter, the                                                                                                        SECURITY strategy
Cantonese-speaking Cheng
says the store is the only one of                                                                                        403-287-2180               1-888-837-8077
its kind in North America that                                                                      
                                               Call (403) 891-4386
sells Buddha statues and incense
made in Tibetan Buddhist tem-
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February 9, 2007                                                                                                               Page 37

MOVING ON from Page 35

IT firm builds up executive team
  Newly established Calgary       Inc., where he held the           (TSX:HSE) “to pursue other
company inUnison                  position of VP of finance.        interests,” the company says.
Technology Services Ltd.            Teras is a junior mining and       Calgary-based Husky did
has appointed three new           exploration company located       not immediately provide
members to its executive          in Calgary that is focused on     details on who will succeed
team.                             two gold properties in            Fraser as the company’s CFO.
  Tim Wasilieff becomes           Montana.                                             – with files from
CEO, Jeff Connery chief                      ■ ■ ■                                The Canadian Press
information officer and             Doug Fraser is leaving his         (E-mail notices and photos at
Jamie Stewart VP of partner       position as CFO of oilpatch       least two weeks before publication
services and planning.            major Husky Energy Inc.           date to
  The company is a subsidiary
of credit union First Calgary
Savings and B.C.-based
Envision Financial.
  Wasilieff will continue to
serve in the role of senior VP
of operations at Envision
  Connery previously served
as the joint CIO of Envision
and First Calgary.
                                                  Maureen Wagner
  Stewart was previously
Envision’s assistant VP of    
program integration.                     403.252.8760
  Launched in fall of 2006,
inUnison provides IT services
to credit unions.
           ■ ■ ■
  Leslie Wright, CFO of the
Liquor Barn Income Fund
(TSX:LBN.UN), has resigned
to take another job in a
different industry.
  A search for a new CFO is
  The Liquor Barn Income
Fund holds a 60-per-cent stake
in the Liquor Barn Limited
                                        Where are we now and where are we going?
Partnership, which operates 59
private retail liquor stores in
Alberta and seven in British                                         Sheraton Eau Claire Suites
Columbia.                                                                  Wild Rose Room
           ■ ■ ■
   WestJet Airlines                                                         March 5, 2007
(TSX:WJA) has appointed                                                  5:00 pm to 7:30 pm
Vito Culmone its executive                                                 $39 per person
VP for finance and CFO.
   Culmone, who will join                                          Cash bar with hot hors d’ouvres
WestJet on March 1, had been
VP for commercial finance at
Molson Canada.
   Culmone will take over                John Brussa, of Burnett Duckworth and Palmer
from acting interim CFOs                 Ron Gratton, of PriceWaterhouse Coopers                                 John Brussa
Janice Paget and Derek
Payne, who accepted the role
after the retirement of Sandy             Mr. Brussa and Mr. Gratton will talk about the Governmental
Campbell in July 2006.                    process, the hearings in February, the rules, how trusts are expect-
   Calgary-based WestJet is               ed to transform in the next few years and what is coming down
Canada’s biggest discount
airline, offering scheduled               the pipe (in regards to alternative structures to Income Trusts).
service with its 35-city North
American and Caribbean                        For more information and to register online visit:
           ■ ■ ■
  Gary Browne has joined                     
Watch Resources Ltd.
(TSXV:WRL) as VP of land, a                 or contact Greg Shannon at Miller Thomson LLP (403) 298-2482         Ron Gratton
position he held with Energy
51 Inc. prior to that company’s
merger with Watch.
  Calgary-based Watch is
engaged in the exploration and
production of petroleum and
natural gas.
           ■ ■ ■
  Teras Resources Inc.
(TSXV:TRA) has hired a new
  Trent Fedak comes from
Modus Group Management
Page 38                                                                                                                                                                February 9, 2007

  Dodge backs Ottawa’s plan on income trusts
Bank of Canada                         in the face of efficiency.
                                          He said Tory government’s
                                                                            which covers most Canadian
                                                                                                                  able to defer those taxes.
                                                                                                                     In an earlier appearance
                                                                                                                                                           This time he suggested that
                                                                                                                                                        if trusts don’t pay their
                                       announcement that trusts                “In . . . the majority of          before the committee, Flaherty        fair share of money to the
boss says move                         would be taxed in the same way       Canadian bu s i n e s s e s , where   said ordinary taxpayers would         federal tre a s u ry it would
                                       as regular corporations levelled     innovation and new investment         feel the pinch in their pocket-       affect not only his tax plans
 was overdue                           the corporate playing field and      is critical, then the income trust    books – starting with this            but also his spending projec-
                                       helped eliminate inefficiencies      form of organization is not an        spring’s federal budget – if          tions.
The Canadian Press                     in capital markets.                  appropriate form of organiza-         Ottawa doesn’t end its favoured          The Conservative gove rn-
                                          Some companies, he said,          tion to maximize the contribu-        treatment of income trusts.           ment says it’s been losing at
  The governor of the Bank of          restructured themselves as trusts    tion of that business.”                  Flaherty warned that contin-       least $500 million a year by let-
Canada has endorsed Finance            simply to reap tax benefits and         The central bank “is not in        uing to offer financial breaks to     ting companies restru c t u re
Minister Jim Flaherty’s plan to        not with an eye to business          the tax game,” he said, but           the trusts would imperil tax          themselves as trusts, and thus
tax income trusts, saying the          efficiency – and that reduced        general principles argue that         cuts planned for the general          escape normal corporate tax
federal government should have         their potential for productivity     the tax system should not be          public in his second budget,          levies.
done it long ago.                      growth.                              biased in favour of any particu-      widely expected in late March.           “Clearly that would reduce
  “Better late than never,”               “By giving incentives that led    lar model.                               “Our last budget re d u c e d      my fiscal room to move, with
David Dodge said of Flaherty’s         to the inappropriate use of the         Flaherty’s      announcement       taxes in 29 different areas,” he      respect to expenditures and
Oct. 31 announcement, which            income trust form of organiza-       removed that bias, he added.          told the Commons finance              with respect to tax reductions,”
sent shudders through the mar-         tion, the tax system was actual-        “Those changes at least make       committee.                            said Flaherty.
ket and angered many investors         ly creating inefficiencies in cap-   the system more neutral and              “ Without giving any t h i n g        It was the latest political
whose portfolios suffered losses       ital markets, inefficiencies that,   more conducive to higher out-         away, I can tell you that, had this   argument deployed by the
when income trust stocks lost          over time, would lead to lower       put and better performance in         g overnment not acted on              Tories in defence of their deci-
value in a big selloff.                levels of investment, output and     the future,” he said.                 income trusts, any plans for          sion to break a campaign prom-
  Dodge appeared before the            productivity.”                          The pre-October tax system         further tax reductions in the         ise from the last election and
Commons finance committee                 Income trusts, he said, are       favoured income trusts, which         next budget would be at risk.”        start taxing trusts.
and said the income trust              suited to businesses that do         distributed most of their profits        He wouldn’t go into detail            The move sparked a market
model doesn’t fit most                 nothing but manage existing          directly to investors and paid        on his budget plans, but drove        panic that saw the more than
Canadian businesses.                   assets and are not a good model      little or no corporate tax.           his point home again in later         250 income trusts operating in
  However, the tax rules made          for firms relying on innovation         Investors we re taxed on           comments outside the commit-          Canada lose at least $20 billion
it attractive, even if it flew         and investment for growth –          their earnings, but many were         tee room.                             in combined value.

     Judge decides pipeline                                                     U.S. firms slammed in survey
     hearings can go ahead                                                  The Canadian Press                    to assess global warming.
                                                                                                                     Ceres president Mindy
                                                                                                                                                        emissions, but only about a
                                                                                                                                                        quarter gave specific emissions
                                       b rought federal energy and             Many big U.S. companies are        Lubber said companies that tra-       targets and a timeline for
 Stay lifted on                        environment officials together       not doing enough to warn              ditionally do not see themselves      achieving reductions.
                                       with Aboriginal groups along         shareholders about the financial      as big emitters of carbon diox-          Peyton Fleming, a spokesman
sessions to deal                       the route was set up in 2002.        risks associated with global          ide and other greenhouse gases,       for Ceres, said his organization
                                       But the Dene Tha’, who num-          warming, a new report asserts.        including banks, insurance            is not arguing that these com-
 with Dene Tha’                        ber about 2,500 members on              The report, released jointly       companies and retailers, need to      panies are being overvalued by
                                       s even re s e rves in Alberta,       by Ceres, an env i ro n m e n t a l   consider the financial risks          investors. “What we’re saying is
The Canadian Press                     British Columbia and the             investment gro u p, and the           posed by climate change.              that some companies may be
                                       Northwest Territories, were          Calvert Group, a mutual fund             “Their inve s t o rs have the      facing potential risks that
   A judge has decided that all        excluded from those discus-          company, said corporate disclo-       right to understand what their        investors may not know about,”
scheduled social and environ-          sions.                               sure of risks related to climate      risks are and how they’re             he said.
mental hearings into a pro-               That’s because the final leg of   change among S&P 500 com-             addressing them,” she said.              The report’s authors said the
posed $7-billion natural gas           the pipeline and the infrastruc-     panies has been “severely lack-          The report found that 80 per       most detailed responses were
pipeline down the Mackenzie            ture connecting it to existing       ing.”                                 cent of the 228 American com-         from the automobile, electricity
Valley can go ahead.                   networks would be in northern           The authors highlighted the        panies that responded to the          and oil industries, where exec-
   Federal         Court     Justice   Alberta, falling under that          fact that less than half of the       carbon survey discussed the           utives are more accustomed to
Michael Phelan has lifted a stay       province’s jurisdiction.             companies listed on the S&P           need to reduce greenhouse gas         thinking about climate change.
he issued last November on all            The Dene Tha’ argue that          500 responded to a survey last
sessions of joint review panel         omitting the connecting facili-      year by the Carbon Disclosure                ATTENTION BUSINESS OWNERS,
hearings that dealt with issues        ty from the main hearings robs       Project, an international effort
affecting the Dene Tha’ First          them of any input. While all         to collect information fro m                       PROFESSIONALS,
Nation.                                other Aboriginal groups have         more than 2,100 companies.                      POTENTIAL INVESTORS
   That means the sessions can         some kind of representation on          The project is backed by
                                                                                                                       Are you tired of getting a low return on your RRSPs and
go ahead as previously planned,        the panel, the Dene Tha’ are         large investors such as Goldman
                                                                                                                        not having the time to find other solid investments? If so,
which will help the hearings           restricted to making a presenta-     Sachs Group Inc., Morgan
finish earlier. But the panel still    tion.                                Stanley and Switzerland’s UBS                this will be the most important message you’ll ever read!
won’t be able to issue its final          Phelan wrote the develop-         AG.                                      Don’t miss your chance to discover this investment opportunity,
report to the National Energy          ment on Dene Tha’ lands was             Coinciding with the report’s          with a Limited time 21% RETURN. By trading just 90 minutes
Board until the Dene Tha con-          just as much part of the             re l e a s e, the world’s leading         on a Wednesday evening you can learn about a great potential
cerns are dealt with.                  pipeline as any other work.          scientists gathered in Paris              investment opportunity that exceeds any returns you may be
   “We’ve agreed to let them                                                                                                         currently receiving on your RRSPs.
finish their hearings, but they’re
                                                                                                                     Schneider Group Consulting             LIMITED SPACE!
still stopped from making their                                                                                            and Investments
final report,” said Dene Tha’                                                                                                                             Please email your RSVP to:
                                                                                                                           invites you to our
lawyer Robert Freedman.                                                                                                INVESTMENT SEMINAR      with
   Freedman said a meeting to                                                                                         Wednesday, Feb., 21, 7:30           your name and number to
discuss how to address the                                                                                                        p.m.                      secure you seat or call
Dene Tha concerns is to be                                                                                           Holiday Inn Convention Centre             1-888-450-1859.
held in May after the panel is                                                                                               (4520-76 Ave.)               YOU MUST ACT NOW –
scheduled to wrap up.                                                                                                                                   RSVP quickly to reserve a seat
   Phelan’s original ruling out                                                                                                                            as there are only 37 left!
of Federal Court in Vancouver                                                                                                                             This is a limited investment
said Ottawa failed to consult                                                                                                                             with room for only another
with the Dene Tha’.                                                                                                            $157,000 of funds.
   A re g u l a t o ry process that
February 9, 2007   Page 39
Page 40   February 9, 2007

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